OPEC Boosts Compliance Amid Venezuelan Output Decline

OPEC maintained stronger adherence to its output reduction agreement in December, driven by reduced Venezuelan production and additional cuts from Gulf states, according to a recent survey. Compliance levels increased to 128 percent from 125 percent in the prior month.

The United Arab Emirates became the first nation since the agreement began in January 2017 to fall below its OPEC target, alongside Saudi Arabia and Kuwait, indicating heightened commitment to the deal.

OPEC and non-OPEC producers collectively reduced output by approximately 1.2 million barrels per day under the agreement, contributing to oil prices reaching their highest level since May 2015 this week.

Survey results indicate no immediate plans among producers to increase output for higher prices or offset Venezuela's declining output amid its economic crisis.