Russian oil export revenue falls to lowest level since invading Ukraine: IEA
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Russia is the world’s third-largest oil producer, and income from fossil fuels is vital for its state finances.
PHOTO: REUTERS
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- Russia's oil export revenues hit their lowest monthly level since the Ukraine invasion due to falling volumes and prices.
- November revenue was US$11 billion, US$3.6 billion below 2024's figure, with Ukrainian attacks impacting Black Sea exports.
- Russia faces budget pressures from high military spending, inflation, and lower oil revenues, expecting a US$50 billion deficit.
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PARIS – Russia’s oil export revenues dropped in November to their lowest monthly level since Moscow invaded Ukraine in 2022, the International Energy Agency (IEA) said on Dec 11.
Russia is the world’s third-largest oil producer and income from fossil fuels is vital for its state finances, under pressure from meagre economic growth and the mounting impact of sanctions and Ukrainian attacks on its energy sites.
Both volumes and prices have fallen, “dragging export revenues to their lowest since Russia’s invasion of Ukraine in February 2022”, the IEA said.
Total revenue in November of US$11 billion (S$14.2 billion) was US$3.6 billion below the 2024 figure.
The Russian Finance Ministry reported oil and gas revenues were down 22 per cent in the first nine months of the year to a total of US$88 billion.
Ukrainian attacks on Russia’s sanctions-busting “shadow fleet”
“After weathering significant unplanned refinery outages in November, tightness in refined product markets has eased, but sanctions in the first quarter of 2026 will provide fresh challenges,” the IEA said.
In October, the US unveiled some of the harshest measures yet on Russia’s energy sector, sanctioning its two biggest oil producers, Rosneft and Lukoil,
This comes as Ukraine intensified attacks on Russian refineries
A mix of high military spending, entrenched inflation and lower oil revenues has stretched the Russian budget.
Moscow is expected to post a US$50 billion deficit in 2025, equivalent to around 3 per cent of gross domestic product, and is raising taxes on consumers and businesses in 2026 to try to reduce the gap. AFP
