Prices of energy commodities to jump 20%

30 Apr 18

Oil prices are forecast to average at $65 a barrel, up from $53 in 2017 as consumer demand and restraint by oil producers have increased. 

Metal prices are expected to rise 9% this year. 

The bank said in its April  the prices of energy commodities, such as oil, natural gas and coal, are forecast to jump 20% in 2018.

This is a 16-percentage point upward revision from October’s outlook.

Shantayanan Devarajan, World Bank senior director for development economics and acting chief economist, said: “Accelerating global growth and rising demand are important factors behind broad-based price increases for most commodities and the forecast of higher commodities prices ahead.

“At the same time, policy actions currently under discussion add uncertainty to the outlook.”

Agriculture commodities, which include food commodities and raw materials, are expected to see a price rise of over 2% this year, the bank said.

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