A recent Fitch report mentions that oil prices are expected to exceed the threshold needed in 2025 to balance the budgets of most Gulf Arab countries.

The Fitch rating agency is lowering its forecast for the average price of oil in 2025 to $70 per barrel from a previous estimate of $80 per barrel. This drop is caused by moderate growth in demand and a large global supply. Fitch noted that financial reforms and high capital spending have strengthened the ability of Gulf countries to deal with low oil prices. This reflects the continued recovery of the non-oil sector, supported by financial reforms in the Gulf states, such as the introduction of taxation, the reform of support systems, and the rationalization of spending. OPEC+ countries have postponed the gradual increase in oil production, which was due to start next January, for three months as part of a move to ensure the stability of the global oil market. This week, Brent futures for February delivery are trading at around $72 per barrel