MANAMA: The sharp price decline is delivering a windfall-tax to consumers globally while giving a major blow to producers. For GCC alone, it is equivalent to $440billion in foregone revenues, according to BofA Merrill Lynch Global Research, titled, “Petrodollar matters.”
“OPEC’s decision to give up on its traditional role of keeping supply and demand in check will have far-reaching consequences across all asset classes as the flow of OPEC petrodollars is drying up. In the absence of a quick and sharp rebound in oil prices, this may drain liquidity from global asset markets, at least for the remainder of 2015.”