A fall in oil prices on world markets is favorable for a number of developing countries if this process boosts growth rate of global economy, the report of the World Bank reads. Data obtained by long-term observations shows that drop in oil prices by 30% can cause a 0.5% change of global economy in the medium term. Every 10% fall in oil prices boosts economy of importer countries by 0.1-0.5 pct. In China, for example, favorable influence over economy rate makes up 0.1-0.2 pct.
Oil prices contraction will influence positively developing countries. The World Bank points out SAR, India, Brazil and Turkey. However, cheap oil is not good for most of exporting countries. In the opinion of the World Bank, it affects Nigeria, Central Asia countries, Venezuela and Russia. If average annual oil price tumbles down by 10%, economic growth of exporting countries, among which are Russia, Middle East and North Africa countries, may drop by 0.8-2.5 pct. The World Bank's analysts say: “The decline in oil prices reflects a confluence of factors, including several years of upward surprises in oil supply and downward surprises in demand, receding geopolitical risks in some areas of the world, a significant change in policy objectives of the Organization of the Petroleum Exporting Countries (OPEC), and appreciation of the U.S. dollar.”
