Budget oil dependence at lowest

TEHRAN June 15(Shana)–The dependence of Iran’s annual budget on petrodollars has fallen to its lowest level this calendar year, President Hassan Rouhani said.

“This administration is the least dependent on oil revenues and the budget for the year 1394 (current calendar year which started on March 21) is the least oil-dependent ever,” he said.

“All oil exporting countries, even those who plotted oil price decline, are facing problems due to this issue and our problems might be even less than this group,” Rouhani said.

The president said the country is still under sanctions as nuclear talks are still under way between Iran and six world powers.

Rouhani said half-complete projects should be given to the private sector.

Iran and six world powers face a June 31 deadline for the conclusion of a comprehensive nuclear accord.

If an agreement is finalized, Iran will limit its nuclear program in return for sanctions relief by world powers.

In its monthly review for January 2015, OPEC estimated the global demand for oil to stand at 91.3 mb/d, 91.2 mb/d, 92.9 mb/d and 93.8 mb/d respectively in the fourth quarters of the year. The average is 92.3 mb/d, up 1.1 mb/d from a year ago.

Non-OPEC supply is estimated to reach 57.5 mb/d, up 1.3 mb/d from the year before. Lower supply by non-OPEC oil producers and growing demand for oil in 2015 will cause demand for OPEC oil to reach 30 mb/d in the last quarter of 2015. In case, OPEC sticks to its production ceiling, the market will be balanced by the end of the year.