Home Economy OPEC to consider US dollar decline in combatting inflation

OPEC to consider US dollar decline in combatting inflation

By IRNA

Riyadh : OPEC members, most of whose currencies are pegged to the US dollar, will jointly consider a revaluation in December in a bid to combat inflation, Secretary General of the Persian Gulf Cooperation Council (PGCC) said in Riyadh on Sunday.

Falling US dollar’s effect on oil revenues overshadowed Saudi Arabia’s promises to fight global warming at this weekend’s OPEC summit in Riyadh.

Saudi Arabia committed dlrs 300 million to research climate change, while OPEC leaders pledged to cut emissions from oil and gas production.

The dollar’s 10 percent decline this year has cut the buying power of revenue from record oil prices above dlrs 90 a barrel.

A further drop may harden OPEC’s reluctance to raise supply in a bid to ease prices.

Ministers at the summit said the oil market was well-supplied and recent gains were due to speculation and beyond the group’s control.