Significance
The oil sector is bouncing back after the lifting of international sanctions. Production has risen from an average of 2.8 million bpd during 2015, and is now approaching pre-sanctions levels. The country has finalised new-style petroleum contracts offering more favourable terms to international investors.
Impacts
Banking, compliance and sanctions issues will gradually ease, reducing pressure on the oil sector.
A stable production outlook will facilitate efforts to agree an OPEC production freeze.
Oil revenue in 2016 could reach 31.5 billion dollars, 75% up on 2015, easing the fiscal situation.
Exports of petrochemicals and refined oil products will rise, on the back of higher oil output and market opening.