Stronger demand to spur oil prices

“Higher oil prices would provide a boost to the balance sheet of the government and consolidate the fiscal side further by providing impetus for the government to spend more.” - Shan Saeed

PETALING JAYA: Geo political risk, economic recovery and supply constraints are likely to fuel higher crude oil prices this year which will be a boon to the country’s fiscal position amid inflationary pressure.

Juwai IQI global chief economist Shan Saeed told StarBiz he expects higher global oil prices in 2022. He attributed this to geo political risk, depreciation of the United States dollar against a basket of currencies and stronger demand for the commodity.