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Analysts at Standard Chartered Bank revise GCC macroeconomic forecasts following collapse of the OPEC+ agreement. Brent Oil is trading at $31.17/bbl.

Key quotes

“We recently lowered our Brent oil price forecasts for 2020 by USD 29/bbl to USD 35/bbl.”

“We have significantly raised our headline GDP growth forecasts for Saudi Arabia, and to a lesser extent the UAE, as these countries scale up crude production sharply. This should support oil-sector growth, near-term.”

“Sustained oil price weakness (our base case) may worsen GCC twin balances significantly, raising sovereign financing requirements.”