Since the economic downturn of the year 2008, the world has not yet fully recovered and the tension of economists has started to threaten the second recession. This tension has been enhanced by Saudi Arabia. It is believed that it is endangering the world to meet its needs. Something similar happened in 2008 too.   

Rising crude oil prices are not good for the global economy. However, Saudi Arabia is in favor of an increase in prices. He wants crude oil prices to reach $ 100 a barrel, but if this happens it can be the cause of the next recession. 

According to media reports, Saudi Arabia wants more income for its expenditure. With crude oil exports, it has the highest earnings. If it costs more then it will benefit directly. Apart from this, the Saudi government is going to bring an IPO of Saudi Aramco, the world's largest oil firm.

The government knows that if oil prices remain high then the valuation of Aram will increase. This allows him to decide the price of shares in the IPO.   Liam Denning of Bloomberg's Gedfle believe that this idea of Saudi Arabia can be fatal, because when oil prices have reached $ 100 a barrel in the last ten years, then they will not last long for that level Have found In 2008, when crude oil prices reached almost $ 150 a barrel, the financial crisis came immediately after it.

Many countries of the world, including India, were hit by this financial crisis. The good thing is that nothing is going to happen only with the desire of Saudi Arabia. There are many basic things behind the current rise in crude. First of all, the demand for the boom in prices has increased demand. It is not the only reason to reduce supply in the OPEC market.

If demand increases, then the price can reach up to $ 100. One summary of this is that if crude oil goes to $ 100 a barrel, its direct impact will be on economic development. We have had this experience during the financial crisis of 2008. Recent developments are an indication that the recession could come again. This time, due to the recession, crude oil can be made and along with the facilitator Saudi Arabia 

Also Read:

Axis Bank posts reported loss in Q4

Diesel smuggling at Chennai port busted

Birthday Special: The journey of Business magnet Mukesh Ambani