This week, we give you an overview of the oil industry in Latin America. Bolsonaro’s Church v. State dilemma. And Brazilians’ increasing access to banks.
The state of the Latin American oil industry during Covid-19
Back in March, Petrobras CEO Roberto Castello Branco said the coronavirus pandemic could spark “the worst oil crisis in a century.” Indeed, 2020 has proven to be a truly dreadful year for the industry, with Brent spot prices crashing from USD 67 back in January to just USD 39 today. Oil-rich Gulf nations have been forced to slash spending and borrow money, in a risky strategy as the outlook for oil continues to be uncertain. Latin America reporter Lucas Berti and I explain how the 2020 oil crisis has impacted the region:
Brazil. Shares of the country’s state-owned oil giant Petrobras are actually higher now then on March 11, when the World Health Organization declared a pandemic and Russia and Saudi Arabia were fighting an oil price war. But the company still has many questions to answer:
- The company’s divestments program sees Petrobras focusing on oil extraction. Leadership wants to sell off assets in the North, Northeast, and South regions — concentrating their operations instead in...