Russian Ministry of Economic Development lowers 2025 Brent oil price forecast by nearly 17%

The Russian Ministry of Economic Development has lowered its expectations for the average price of Brent oil in 2025 by almost 17% to $68 per barrel in contrast with the agency's September forecast of $81.7 per barrel, Interfax reported. 

The ministry also sees the price of Urals oil, Russia's main export blend, at $56 per barrel, compared with $69.7 per barrel set in the country's budget for 2025. Earlier in April, the Bank of Russia warned that the cost of crude could be lower than projected for several years due to a decline in global demand. Due to trade tensions triggered by US President Donald Trump's actions, global economic growth will be just over 2% this year, the agency forecasts.

Earlier this month, Urals crude prices fell to their lowest level since 2023 at around $53 per barrel. Last week it was trading below $60. According to representatives of Russia's economy ministry, some oil supplies will be redirected due to trade restrictions.