Current oil prices will have no impact on growth in Asia, the oil minister for top exporter Saudi Arabia said on Monday, even as the region's biggest economies struggle with rising energy costs in their efforts to boost growth. Japan, one of the world's top crude importers, is battling a huge trade deficit and India is fighting to rein in ever-growing domestic subsidies as prices rise.
Last October, Naimi said an oil price of $100 per barrel was suitable for both consuming and producing nations. In recent months, he has said that oil markets were well supplied and that stability had returned in the wake of jitters caused by Iran's stand-off with Western nations. "Current levels will not deter further economic growth in Asia," Ali al-Naimi told an Asian investment conference in Hong Kong, although he did not elaborate. "The prospects for the energy industry are stronger now than anytime in recent history," Naimi added. "While the fluctuation in prices may be good for a few traders, it's not good for long-term economic stability and growth."