Members of the Organization of the Petroleum Exporting Countries (OPEC), including Nigeria, recorded a whopping loss of $1trillion in oil revenue within two years.
The Secretary General of OPEC, Sanusi Barkindo, made the disclosure at the 2021 Nigeria International Petroleum Summit held in Abuja on Monday, adding that collectively about $1 trillion was lost in terms of foregone revenues to OPEC member countries as a consequence of the plunge in prices in 2015 and 2016, with exploration and production spending falling by an enormous 25 per cent.
He further stated that the devastating spread of COVID-19 in the year 2020 also severely impacted global oil demand and, again, developing economies were exposed during the period and investments in the oil sector were choked off during these challenging periods.
He explained that apart from the 2015 and 2016 oil revenue losses, oil demand dropped by a staggering 22 million barrel per day during the month of April 2020.
According to him, the fall in oil revenue affected government spending and investments during the period, coupled with significant job losses across the industry as well as an increased operational and financial stresses for the oil industry.