OPEC+ committee recommends staying course on oil output policy

Leading oil officials on Wednesday recommended to maintain the current oil output policy of OPEC+, the Organization of the Petroleum Exporting Countries (OPEC) and its allies, amid an uncertain global economic outlook.

The OPEC+ agreed in October 2022 to cut production by 2 million barrels per day from the following month until the end of 2023. The cut equals to about 2 percent of the annual global oil demand.

Members of the OPEC+ Joint Ministerial Monitoring Committee (JMMC) "reaffirmed their commitment" to the current output plan at a virtual meeting on Wednesday and "urged all participating countries to achieve full conformity and adhere to the compensation mechanism," according to an OPEC statement.

The JMMC comprises oil ministers from the OPEC+ countries. It has no decision-making power but provides policy recommendations for the OPEC+ ministerial meeting, the group's decision-making body. It has also the authority to request additional OPEC+ ministerial meetings "at any time to address market developments," according to OPEC.

The JMMC has reviewed the oil production data for November and December last year and "noted the overall conformity" for the OPEC+ countries, OPEC added.