Africa: How Cheap Oil Hurts Sub-Saharan Africa

Jun 21, 2018 | Emily Meierding, Washington Post
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Over the past four years, oil-producing countries have experienced a wild ride. After oil prices exceeded $110 per barrel for Brent crude in 2014, they suddenly dropped to $50 per barrel in early 2015 and to $35 per barrel by January 2016, leaving most producers unable to balance their budgets. Observers suggested that falling oil revenue could provoke political crises, as governments implemented spending cuts that could endanger their popular support. However, since last summer, oil prices have risen steadily. For the past month, Brent crude has surpassed $75 per barrel.