Venezuela says expects OPEC to cut supply at meet

CARACAS Sat Oct 18, 2008 7:47pm IST

An oil pump seen on the shore near Santa Cruz del Norte, Cuba in this June 5, 2008 file photo. REUTERS/Claudia Daut

An oil pump seen on the shore near Santa Cruz del Norte, Cuba in this June 5, 2008 file photo.

Credit: Reuters/Claudia Daut

Related Topics

A statue of Ganesh, the deity of prosperity, is carried in a taxi to a place of worship on the first day of the ten-day-long Ganesh Chaturthi festival in Mumbai August 29, 2014. REUTERS/Danish Siddiqui

Ganesh Chaturthi Festival

During Ganesh Chaturthi idols will be taken through the streets in a procession accompanied by dancing and singing, and will be immersed in a river or the sea in accordance with Hindu faith.  Slideshow 

CARACAS (Reuters) - Venezuela's economy minister expects OPEC to agree to cut oil supply at an emergency meeting next week to stem crashing world prices by bringing supply and demand into better balance.

The minister, Ali Rodriguez, who is a former OPEC president and a longtime advocate of Venezuela's hawkish stance to bolster prices, reinforced the emerging position among the organization's members that supply will be reduced Oct. 24.

"It is likely there will be a cut" at the meeting, he said in an interview broadcast on state television late on Friday.

OPEC's president has said a cut is likely and Qatar's oil minister has said it could be about 1 million barrels a day from an organization that supplies the world with about a third of its oil supply.

Oil prices have plunged in recent weeks as a global credit crunch has spurred fears of recessions worldwide that would slash demand for oil. Prices lapped up at $150 a barrel in July but have fallen to less than half that this week.

Leftist Venezuelan President Hugo Chavez depends on oil revenue to sustain his high spending on the majority poor of his nation. If oil stays at its current levels for long, he likely will have to use other sources of income -- such as loans or savings funds -- to keep programs of food subsidies and free health clinics.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Market Eye

REUTERS SHOWCASE

HSBC PMI

HSBC PMI

Factory activity expands at slower clip in August.  Full Article 

Modi in Japan

Modi in Japan

Japan aims to double India investment in 5 years - Nikkei  Full Article 

Market Outlook

Market Outlook

Indian shares headed for correction, but outlook strong - BofA Merrill.  Full Article 

India Infrastructure

India Infrastructure

RBI rule handicaps India's infrastructure hopes  Full Article 

Book Talk

Book Talk

Reema Abbasi and a glimpse of Pakistan’s Hindu past  Full Article 

China Economy

China Economy

Retreat in China's PMIs heightens calls for policy easing.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage