The price of crude oil (Brent crude) has increased by 2 per cent after the death of Saudi Arabian monarch was announced this morning. It has climbed to $49.48 per barrel.
Saudi Arabia is currently the biggest producer of oil in the Organization of Petroleum Exporting Countries (OPEC).
With the death of King Abdullah bin Abdulaziz Al Saud, investors are expecting that the kingdom will desist from maintaining its production quota to stop the excess supply that led to an agonizing drop in price in recent times. Analysts are however not sure of that because the king’s successor is in fact one of those who are in support of the kingdom’s present policy on oil.
King Abdullah bin Abdulaziz is regarded as a “reformer” king. The reforms during his reign include but not limited to giving Saudi women the right to vote and to participate in the Olympics.
He died with an estimated personal fortune of $18 billion, making him the third wealthiest head of state in the world.
He is survived by four wives, seven sons and 15 daughters.
He is succeeded by the crown prince, Salman bin Abdulaziz Al Saud