LONDON-The current slump in oil prices will be short-lived,
OPEC's secretary-general said Wednesday, defending the
oil-producing group's November decision not to cut its
production.
"I tell you, the price will rebound and we will go back to
normal very soon," Abdalla Salem el-Badri said while speaking at
the World Economic Forum in Davos, Switzerland.
Oil prices have fallen more than 50% since June amid surging
production in the U.S. and steadfast output from the Organization
of the Petroleum Exporting Countries, despite an increasingly
sluggish demand picture.
In the past, OPEC has cut its output to prop up oil prices, but
Mr. el-Badri said the producer group couldn't keep cutting back to
prop up non-OPEC suppliers.
Write to Sarah Kent at Sarah.Kent@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires