OPEC+ Countries Eye Oil Output Hike Amid Ongoing West Asia Instability

Amid the ongoing West Asia conflict, OPEC+ countries have agreed in principle to raise oil output targets in June. Reports say that seven OPEC+ countries have agreed to raise oil output targets by about 1,88,000 barrels per day next month. This will be the third consecutive monthly increase amid the geopolitical crisis and the departure of the United Arab Emirates (UAE) from the group. With the UAE leaving, OPEC+ includes 21 members, including Iran. Last week, the UAE announced it was leaving the OPEC and OPEC+ cartels. It said the decision reflected the long-term strategic and economic vision and evolving energy profile. The exit of the UAE is expected to weaken the oil cartel at a time when the Persian Gulf countries have taken a huge hit to their exports due to the closure of the Strait of Hormuz.