The de facto closure of the Strait of Hormuz brings Russia additional income of over ten billion euros per month from the export of oil, gas and fertilizers, according to estimates by the German-Russian Chamber of Foreign Trade. "In this way, Russia is the biggest beneficiary of the war in the Middle East", the chairman of the chamber, Matthias Schepp, told the DPA agency.
Russia benefits from the increased prices of raw materials on the world market, as it carries out its exports via other routes. All this could bring the country "unexpected huge revenues," Schepp said.
Oil prices rise - Russia benefits
The impact of high oil prices is particularly significant, the chamber notes. The price of Brent crude oil for delivery in June exceeded $111 per barrel at the beginning of the week. The increase in price is almost $40 compared to the levels before the war.
This is of great importance for the Russian budget, because it depends heavily on oil and gas revenues, ARD notes. The budget currently has a price of $59 per barrel, and before the war in Iran, Russia even registered a deficit due to lower oil prices.
At a price of $100 per barrel, Russia will receive billions beyond what is set in the budget, the German-Russian Chamber of Foreign Trade predicts. Oil and gas alone, at current price levels, could generate additional revenue of around $50 billion per year.
The chamber expects higher revenues for Russia from fertilizers as well. The average scenario predicts up to 8.9 billion euros more.
The export of raw materials also finances the war in Ukraine
The chamber points out that Russia is also financing its offensive war in Ukraine with the revenues from raw materials. And Moscow is already hoping for a price of $200 per barrel. In this case, revenues would reach $350.4 billion - or $247 billion more than budgeted.
In addition to the sanctions imposed on Russia because of the war in Ukraine, many countries are importing significantly fewer Russian raw materials, but normal trade continues with many others.
Author: Angela Göpfert (ARD)