Due to the worldwide infection of the coronavirus, the prices of crude oil have fallen. New York has recorded the biggest drop in crude oil prices yet.
On April 20, there was a furore in the New York Oil Market, the oil prices fell so much that crude oil became cheaper than bottled water.
Oil-producing countries have different benchmarks their commodity is valued against but the current oil price trend is worrying many oil-producing countries. South Sudan crude oil, for instance, is benchmarked against the Brent Crude which as at 11:41 pm on Monday is valued at $25.57 while the West Texas Intermediate, although still negative, has slightly appreciated to $-16.20.
South Sudan relies on oil for the vast majority of its budget revenues, although oil production has fallen sharply since independence. South Sudan is one of the most oil-dependent countries in the world, with 98% of the government’s annual operating budget and 80% of its gross domestic product derived from oil.