The Republic of Congo has become the newest member of the Organisation of Petroleum Exporting Countries, OPEC. The development brings the overall membership to 15 and makes Congo the 7th African country in the organisation joining Algeria, Angola, Gabon, Equatorial Guinea, Libya and Nigeria.
Congo stands to benefit from OPEC’s development and aid programmes for minor member countries for economic development. But at the moment, the Congolese government is more concerned – and rightly so – about enjoying an equilibrium in global oil markets and attracting higher investments into the sector. Congo will not wait long to test the effects.
The record increase in global crude oil prices last month was feared to drive up demand and throw prices and supply in disequilibrium. Major oil producing countries like Saudi Arabia are already strategizing to take advantage of the now rising oil prices by supplying more oil into the markets.
Elsewhere on the continent, Presidents Omar Al Bashir of Sudan and Salva Kiir of South Sudan agreed to work out a deal this week to jointly repair oil infrastructure and rebuild the oil industry on which both countries are dependent. We are looking out for major developments on that.