Saudi Arabia And Russia Agreement

Under the agreement, nations will have access to the credit lines of the European Stability Mechanism, also known as the EU bailout fund, provided that spending is limited to direct responses to the pandemic. The agreement will also increase the lending capacity of the European Investment Bank and a new unemployment insurance programme. On the first day of the negotiations, a set of bilateral documents[51] was signed for oil, military and space exploration. [52] [53] Arms sales worth $3 billion, expected to be completed by the end of October 2017, in accordance with Saudi Arabia`s attempt to locate the manufacture of weapons, saw the possibility of a transfer of technology for the local production of Russian Kornet-EM anti-tank missiles, TOS-1A rocket launchers and AGS-30 automatic grenade launchers, the latest version of the Kalashnikov assault rifle and long-range S-400 missile system. [54] [55] [56] [57] Saudi Arabia has agreed to invest $1 billion in Russian energy projects and Russian gas processing and petrochemical company Sibur has committed to build a facility in Saudi Arabia in a separate $1.1 billion contract. [58] Regarding the extension of the oil production reduction contract until the end of 2018, which had been proposed by Vladimir Putin as a possibility on the eve of talks with the king,[59] the Kremlin stressed after the discussions that Vladimir Putin had not proposed the extension, but had allowed it as a possibility in market conditions. [60] [61] The Russian media and experts made much of the Saudi Foreign Minister`s comments on the prospects for lifting Russian sanctions, but also warned that genuine cooperation had not yet been established between the countries. [62] Diplomatic relations did not resume until 1992, after the dissolution of the Soviet Union and the founding of the Russian Federation. [4] [5] Despite the lack of relations, some 20 Soviet Muslims were allowed to do the Hajj each year between 1946 and 1990, when liberalization allowed thousands of Soviet Muslims to participate. [6] Over the past 25 years, Russian-Saudi relations have never evolved beyond symbolic visits, although Saudi King Salman visited Moscow in 2017 with a delegation of 1,500 people; The agreement between Moscow and Riyadh, however, has faded in relation to the Saudi arms treaties with the United States. [4] Later, on 3 April, the Saudi foreign and energy ministers issued statements criticizing Putin and accusing Russia of not participating in the OPEC agreement. [38] Following the COVID 19 pandemic, plant production and transportation declined, which also reduced aggregate oil demand and drove down oil prices. [14] February 15, 2020, the International Energy Agency forecast that demand growth would fall to its lowest level since 2011, with growth of 325,000 barrels per day over the full year, to 825,000 barrels per day and a decline in consumption of 435,000 barrels per day in the first quarter.

[15] Although global oil demand has declined, a drop in demand in Chinese markets, the largest since 2008, triggered an OPEC summit on March 5, 2020 in Vienna.

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