
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
What happened in 'Wicked' part 1 and will there be a 3rd movie? Recap and what Ariana Grande, Jon M. Chu have said about a sequel. - 2
Instructions to Warmly greet Certainty and Appeal - 3
Modern surgery began with saws and iron hands – how amputation transformed the body in the Renaissance - 4
Benin coup thwarted by loyalist troops, president tells nation - 5
The Most recent Microsoft Surface Genius PC: Ideal for Very good quality Planning and Gaming Needs
Thousands of Walgreens nasal spray bottles recalled. See which ones.
Man Charged for Stealing ‘Incredibly Precious’ 286-Year-Old Violin, Worth More Than $200,000, from a Tavern
Police investigate Lahav 433 officer accused of sexually harassing subordinate policewoman
Europe picks companies to help build Argonaut moon lander
Feeling wonder every day improves our health. Here’s how to do it.
What's The Friendliest City In The United Kingdom?
I work with companies to confront addiction in the workplace. The hidden crisis is costing corporate America millions.
The Drone Video of the Year is stunning – you've not seen Namibia like this
Advocacy groups react after Mattel introduces 1st Barbie doll with autism













