A report from the IMF has warned that the “new normal” in oil will delay the economic recovery in oil-dependent countries. Few would be surprised by this, except perhaps policy-makers in some of these countries who still believe the solution to their problems is an increase in crude oil production, at a time when OPEC is desperately trying to get its members to agree to a freeze. The report, cited by Nigeria’s Guardian, notes that the factors contributing to the prolonged depression among those who depend on oil for their budgets include not just the persistent glut, but also the constant output from shale in the U.S., the notable decline in crude oil consumption in developed countries, and the strong greenback, in which international oil futures are priced. Also, demand for crude, although growing, is not growing fast enough to offset the combined effect of the […]