Oil Consuming Countries are Shaken by the Dollar!

Even though Brent oil is down 30 percent from its peak during the year, oil consuming countries are experiencing this effect in a limited way due to the strengthening dollar... While this situation has become a major problem even for large economies, it is stated that it creates a collapse effect for the economy of developing countries.

Brent oil has fallen more than 30 percent from this year's highs, but those living in Paris, Mumbai or Accra do not seem to have felt this change. The drop in the benchmark benchmark in the global oil market from about $128 a barrel has been matched by a jump of about 15 percent in the dollar over the same period. This means that fuel prices remain a major factor driving up the cost of living in most parts of the world. Major oil demand regions such as China, India and the European Union have all seen smaller real declines in crude oil prices than indicators suggest. And for emerging markets such as Sri Lanka, the impact of higher oil prices and a collapsing currency has been a near total economic collapse. "A stronger dollar stands out as a major issue for oil-consuming countries whose currencies are not linked to the dollar," said Giovanni Staunovo, Commodity Analyst at UBS Group, adding, "Oil prices have risen much more in local currency terms in the last 12 months." Follow Global Economic Developments on Social Media! Click here to follow Ieconomy official Facebook account! Click here to follow Ieconomy official Instagram account! Click here to follow Ieconomy official Twitter account!