
Russia is generating billions in revenues from its commodity exports due to the effective closure of the Strait of Hormuz, the German-Russian Foreign Trade Chamber reported on Tuesday.
Russia’s profits from exporting oil, gas and fertilizer amount to more than €10 billion ($11.54 billion) a month, the chamber said. "Russia is the big winner of the new war in the Middle East," Matthias Schepp, the chamber’s chairman, told dpa.
Russia is benefiting from higher global commodity prices because it uses other export routes. All of this could "bring Russia an unexpected windfall on a historic scale," Schepp said in Moscow.
With a sustained oil price of around $100 a barrel, Russia could expect an annual increase of $71.8 billion compared with the budget plan.
The price of Brent crude for June delivery rose to more than $111 per industry-standard barrel - each of which holds 159 litres - at the start of the week. That is almost $40 more than before the war began.
The Russian budget is heavily dependent on the sale of oil and gas, with $59 per barrel currently assumed in the budget. Before the Iran war, it showed a deficit because the oil price was below the planned level.
"At the current price level, Moscow can generate around $50 billion in additional revenue per year from oil and gas alone," the chamber said.
Russia funds its war in Ukraine through exports
Russia, which is also hoping for an end to Western sanctions, is using the proceeds from commodity sales to finance its war against Ukraine.
Some in Moscow are already hoping for an oil price of $200 per barrel. According to the chamber, that would bring in $350.4 billion, $247 billion more than planned in the budget.
LATEST POSTS
- 1
4 Jeep Models: Dominating Execution and Flexibility for Each Experience - 2
Artemis 2 astronauts are about to see one of the rarest skywatching sights of all — a solar eclipse from beyond the moon - 3
Whale stranded off Germany for days free again - 4
Picking the Right Home Machines: A Commonsense Aide - 5
Glamour Shots once ruled the mall. I went to one of the last ones standing.
6 Savvy Locks for Lofts
Volkswagen Just Built a Plug-In Tiguan for China That America Doesn’t Get
How a Middle East War Becomes a Retail Price Hike
Fundamental Home Machines for Improved Solace in Summer
Netanyahu leads meeting on West Bank riots, Katz defends axing administrative detention for Jews
Cyber Monday Paramount+ deal: Save 50% and stream these buzzy Taylor Sheridan shows
January full moon wows skywatchers with a striking 'Wolf Supermoon' (photos)
Reporter's notebook: Inside the IDF’s ‘Hamas Village,’ and how Israel is rewriting urban warfare
China's 'Venice Of The East' Is A Historic Canal City Near Shanghai With Arched Bridges And Lantern-Lit Waterways













