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OPEC fails to agree output boost

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OPEC fails to agree output boost

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Opec’s talks have collapsed without an agreement to raise oil output.

Saudi Arabia had wanted the cartel to pump another 1.5 million barrels a day to pull down crude prices.

The Saudi oil minister Ali al-Naimi called it “one of the worst meetings” OPEC has ever had.

The four Gulf Arab countries had proposed the output increase.

Iran, Libya, Algeria, Angola, Ecuador, Venezuela, and Iraq refused – with analysts saying there were political overtones to the way the voting went.

OPEC last set its output target in late 2008 at 24.8 million barrels per day, but its members actually pump much more than that – 26.3 million barrels per day, not including Iraq which is not bound by an OPEC quota.

OPEC’s failure to do a deal will be a blow for industrialised consumer countries hoping it would take action against fuel inflation.

The United States had put pressure on Saudi Arabia to deliver a credible deal to cap crude prices which are causing economic growth to falter.