Oil price stabilization fund has no money; State Minister Cabraal

Colombo (News 1st); Sri Lanka's crude oil price stabilization fund, which was set up to absorb shocks in global price fluctuations without changing the local oil prices, has hit rock bottom, it was revealed on Thursday (25). Finance Secretary S.R. Attygalle speaking to reporters said the surcharge was directed to the oil price stabilization fund, and the money was used by the Ceylon Petroleum Corporation to purchase fuel. 'As there is no surcharge, there is no money received by the fund,' he said. Ajith Nivard Cabraal, Sri Lanka's State Minister of Money & Capital Market and State Enterprise Reforms said there is not a cent in the crude oil price stabilization fund at present. On the 19th of March 2020, Joint-cabinet spokesman Bandula Gunawardane said Sri Lanka will set up a crude oil price stabilization fund to absorb shocks in global price fluctuations without changing the local oil prices. Morgan Stanley expects Brent crude prices to climb to $70 per barrel in third quarter on “signs of a much-improved market” including prospects of improving demand. Morgan Stanley noted, “new COVID-19 cases are falling fast globally, mobility statistics are bottoming out and are starting to improve, and in non-OECD countries, refineries are already running as hard as before COVID-19.”