The Organization of the Petroleum Exporting Countries (OPEC) slashed its oil supply forecast for Russia next year and said continued geopolitical uncertainty was limiting its prospects for economic growth.
OPEC, which represents oil-exporting nations, now forecasts Russia will supply 10.51 million of barrels of oil per day (mb/d) on average in 2015, down from the 10.53 million it predicts for 2014.
It also lowered Russia’s GDP growth forecast to 0.3 percent in 2014 and 1.1 percent in 2015.
“Continued geopolitical uncertainty is increasingly limiting the prospects for economic growth, amid currency depreciation, high inflation and poor growth in retail sales. The expected second round of EU economic sanctions would make faster GDP growth even less likely,” OPEC said in its monthly oil market report published on Wednesday.