Producers consumers benefit from Saudi oil policies

(MENAFN- Arab News) The prevailing oil process is in the interest of most world countries whether producers as well as to the advantage of the growth of the world economy says an official in the European Union.

Adam Kholakh head of the European Commission in the Kingdom points out that disposing of surplus oil in the market will be done gradually to match the growth of the world economy.

According to him the decreasing oil prices are in the interest of most world countries including European countries. They also help the growth of the European economy and that of the rest of the world he said adding that the current decreases of oil prices and the lack of demand have caused a crisis; it is a natural phase that faces the market as a result of the lack of stability between supply and demand.

Kholakh said Saudi Arabia supports that oil prices should be beneficial for both the producing and consuming countries adding that European countries are consumers and the price decreases help the growth of their economies.

He added that the best solutions to get rid of surplus oil and this in turn will help the growth of the economies of consuming countries. And as the economies grow demand for oil will increase thus stabilizing the demand-supply scale in the oil market.

According to Kholakh some countries have problems because of the decreased oil process but in general low prices lead to improved world economic growth.

He said the impact of the lowered oil prices is partial in the world economy; some countries might suffer while most others being consuming countries will benefit.