These 6 Countries Will Be Screwed If Oil Prices Keep Falling

[daring dude]

The collapse in oil prices is already a major cause of concern for countries heavily reliant on exports of the commodity. For some, it could be a matter of avoiding a severe recession.

Here's why: For governments in oil-exporting countries to meet their spending commitments they need oil to remain above a certain price. With oil prices under $87 a barrel, countries that rely on high oil prices, including Venezuela, Russia, and Saudi Arabia, may have a reason to be concerned.

This chart shows the price per barrel that the six most exposed countries need to meet their national budgets. Remember, the price Friday is a piffling $87.

 

[Superboy]

Russia is a high tech country. Saudi Arabia does not have high technology. Russia won't be affected. Saudi Arabia would be.

 

[Archdemon]

Russia is a high tech country. Saudi Arabia does not have high technology. Russia won't be affected. Saudi Arabia would be.

List of countries by economic complexity - Wikipedia, the free encyclopedia

 

[Raphael]

This may not be a bad thing. It may be the impetus they need to seriously try to diversify their economy.

 

[UKBengali]

We forget that a lot of these countries have hundreds of billions of dollars in reserves to allow them to ride out oil price drops.