IMF Primary Commodity Prices

What Hinders Investment in the Oil Sector?

Prepared by Kalpana Kochhar, Sam Ouliaris, and Hossein Samiei

Approved by Raghuram G. Rajan

February 22, 2005

Use the free Adobe Acrobat Reader to view the full text (51 kb pdf file.)

This paper was issued as background material for a Board seminar.

I.   Background
II.   Obstacles to Investment
  A.   Price and Demand Uncertainties
  B.   Specific Constraints in the Case of Oil-Exporting Countries
  C.   Downstream Investment
III.   Status of PRGF-HIPC Financing
  A.   OPEC Producers
  B.   Non-OPEC Producers
IV.   Conclusions
Annex 1. Foreign Investment in Upstream Oil Sector of Selected Countries