IMF Says, Oil Prices to Stay High for Medium Term

Global economic expansion remains intact but the likelihood of continuing high oil prices poses a risk, the International Monetary Fund said Thursday.

Speaking to reporters in Singapore via videoconference, IMF Managing Director Rodrigo de Rato said it is likely oil prices will remain high in the medium term.

“We expect that oil prices will not recede in the medium term…not even to (the level of) 2004,” he said. “High oil prices are a risk.”

Rato said oil prices are likely to stay high, driven by high demand not only from China and India but also increased consumption in the U.S.

Schlumberger