Analysts see higher oil prices in 2019

Oil price factor: Finance Minister Lim Guan Eng said the government could recalibrate Budget 2019 if the average Brent crude price falls below US50 per barrel.

PETALING JAYA: Crude oil prices have gone on a freefall, down by over 37% in less than three months. However, analysts foresee the bearish trend to be temporary, with higher oil prices in the offing next year.

The positive outlook comes as good news for the federal government’s coffers as well as the Malaysian oil and gas (O&G) sector, which had witnessed a disappointing earnings performance in the third quarter of 2018.