Colombia Is An Overlooked Victim Of The Oil Price War

The considerable optimism surrounding oil at the end of 2019, when Brent was trading at $68 a barrel has turned sour. The demand shock triggered by the coronavirus and subsequent Saudi-Russian price war, which threatened to substantially expand global supply, caused oil prices to crash. The International Brent price plummeted to levels not seen for over two decades. The latest rally, which has seen Brent rise to just over $40 per barrel, has provided little relief for Colombian oil producers. That price is below the breakeven price for many Colombian…