OPEC has persuaded 11 non-member countries to cut their oil production in an attempt to raise low prices that have put pressure on government finances in resource-dependent countries. Qatari Energy Minister Mohammed bin Saleh al-Sada said Saturday that non-members agreed to cut 558,000 barrels per day, less than the 600,000 OPEC had hoped for.
Those non-member cuts would come on top of an OPEC decision Nov. 30 to reduce member output by 1.2 million barrels a day.
Major oil producers such as Russia and Saudi Arabia have seen an oil glut send prices lower and cramp their state budgets. It remains to be seen whether an OPEC-led cutback will do much to raise prices, given members’ track record of exceeding agreed production amounts.