Welcome back to another edition of My Take 5. This week we are covering UAE’s exit from Opec, how Ukraine is taking the war to Russia, King Charles’ successful US trip, Syria’s transitional justice, and China’s coercion of three African countries to block overflight of Taiwanese President. So, let’s get to it:
UAE to exit Opec: In a big move, UAE has announced its decision to exit the Opec oil cartel by May 1. This comes as a serious blow to the group amid the ongoing double blockade in the Strait of Hormuz, through which 20% of global oil supplies flowed before the outbreak of the Iran war. UAE, which has the second-largest spare oil production capacity within Opec, may be taking a calculated risk here. Within Opec, it was subjected to group quotas that prevented it from realising its full potential of oil revenue streams. With that restraint gone, UAE can, theoretically, ramp up its own independent production, which in turn could depress global oil prices.
