Express Business Filler #1

The OPEC oil cartel and nations including Russia have agreed to boost oil prices by cutting as much as ten million barrels a day in production, or a tenth of global supply. More countries, including the United States, were discussing yesterday their own cuts in what would be an unprecedented global pact to stabilise the market.

The agreement between OPEC and partner countries aims to cut ten million barrels per day until July, then eight million barrels per day till the end of the year, and six million a day for 16 months beginning in 2021.

Mexico had initially blocked the deal but its president, Andrés Manuel López Obrador, said yesterday that he had agreed with US President Donald Trump that the US will compensate what Mexico cannot add to the proposed cuts.

“The United States will help Mexico along and they’ll reimburse us sometime at later date when they’re prepared to do so,” Trump said at a White House press briefing yesterday.

Mexico had offered to cut production by 100,000 barrels per day, but OPEC wanted more of a sacrifice. So the US agreed to fill in the gap and cut its production by 250,000 to 300,000 barrels per day, “which we’ve already done, by the way,” Trump said.

“US production has already been cut, because we’re a market-driven economy, and oil is very market-driven,” he said. “They’ve been cutting oil all over the place.”

The US is already on track for a production decline of 2 million to 3 million barrels per day, said Dan Brouillette, secretary of the US Energy Department.

Altogether, the agreements could pave the way for cuts that experts estimate could reach 15 million barrels a day in all — about 15 per cent of world production. Such a move would be unprecedented both in its size and the number of participating countries, many of whom have long been bitter rivals in the energy industry.

The price of crude is down by over 50 per cent since the start of the year and while that helps consumers and energy-hungry businesses, it is below the cost of production for many countries and companies. That has strained the budgets of oil-producing nations, many of which are developing economies, and it has pushed private companies in the US towards bankruptcy.

Analysts warn even these proposed cuts may not be enough to offset the loss in demand over the longer term, as the coronavirus pandemic has decimated demand for energy around the world.

RECOMMENDED FOR YOU

The situation with the FSO Nabarima oil storage vessel may be a wake-up call to consider developing a commercial port outside the Gulf of Paria that can be a fall-back position in the event the Gulf cannot be accessed.

BP is set to make around 7,500 compulsory redundancies after roughly 2,500 staff—or just over one in ten of those eligible— applied for voluntary severance, according to an internal memo seen by Reuters and company sources.

Sprawling and flanked by massive trees and well-manicured lawns, The University of The West Indies St Augustine campus, was a place always teeming with students, lecturers and academics.

IMPROVED and innovative access to finance and loans for small, micro- and medium- sized enterprises (SMEs) is just a click away, as Term Finance Holdings Ltd (TFHL) and 3Stone Ltd have developed a strictly digital platform to assist such businesses. The digital platform, SME TT which has been in beta testing for the past six months was launched on September 21, 2020.

The ability to capture, maintain and monitor key financial stability/macro-prudential indicators is essential in the analysis and evaluation of the securities market. This article will discuss the Micro and Macro Prudential Reporting Framework (MMRF), which is the tool utilised by the Trinidad and Tobago Securities and Exchange Commission (TTSEC) to capture key metrics and is used to conduct analysis that evaluates the health, soundness and vulnerabilities of the local securities market.

The Trinidad and Tobago Chamber of Industry and Commerce annually hosts the Champions of Business (COB) Awards, which honours entrepreneurs and business leaders for their efforts and commitment to their industries, the country, the region and societies around the world. When the event, which was previously called the Business Hall of Fame was rebranded in 2014, a category was retained specifically for the Business Hall of Fame. This category recognises individuals for a lifetime of achievement in business and has maintained its place as one of the most prestigious awards of the event. For the second year running, this category is being sponsored by Guardian Life of the Caribbean Ltd.