The Premier of Alberta has warned that lower oil prices will hurt the province's new budget and will result in some spending cuts.
The Premier of Alberta Danielle Smith has warned that lower oil prices will have an impact on the province’s new budget, forcing some spending cuts. During a televised address on Wednesday night, Smith said 'Lower resource revenues will certainly require us to show more restraint than previously predicted.
S. benchmark has traded lower than this, meaning the budget calculations of the Alberta government had to be adjusted. Recently, oil prices have been on the mend amid continued tensions in the Middle East but there is no guarantee the rally will either strengthen or continue seeing as there are bearish factors at play as well. Chief among these are doubts about the strength of Chinese oil demand.
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