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Opec holds first summit after Arab Spring

Report

Oil is expensive again. The price is more than three times the lows it hit in the wake of the financial crisis, driven higher by robust growth in emerging economies and by the political unrest in the Middle East and North Africa. 

It is increasingly an economic problem for oil importers, especially in the developed countries, where recovery is not very convincing. The oil price is adding to inflationary pressures and it's hitting consumers who have less to spend on other goods and services. 

Saudi Arabia, along with Kuwait and the United Arab Emirates are willing to respond by boosting supplies which should bring prices down. But others aren't so keen, including Iran and Venezuela who don't have a great deal of spare capacity and have poor diplomatic relations with the rich world. 

Saudi Arabia, however, does have room to increase production and might well choose to do so whatever Opec decides. 

Andrew Walker, BBC News