Global Oil Prices Continue to Fall for Four Consecutive Months

Global oil prices have seen a consistent decline for nearly four months, reaching between USD 76.76 and USD 77.52 per barrel as of May 4, 2024.

This downward trend in oil prices has prompted the Organization of the Petroleum Exporting Countries (OPEC+) and its partners, including Russia, to announce plans to cut supply starting in October. This decision comes despite indicators of weakening demand in the global market.

Saudi Arabia's Minister of Energy, Prince Abdulaziz bin Salman, stated that OPEC+ might halt the decision to increase oil supply if the demand does not strengthen to consume the currently produced oil. This cautious approach reflects the group's strategy to balance the market and stabilize prices.

Meanwhile, in East Africa, including Tanzania, oil prices have remained high, occasionally experiencing minor decreases. This persistent high pricing continues to impact the region's economies and consumers, who face elevated costs for fuel and related products.

The ongoing fluctuation in oil prices underscores the delicate balance of supply and demand in the global energy market. As OPEC+ monitors the situation closely, the group's actions in the coming months will be crucial in shaping the future landscape of global oil prices.