» 5 Countries Crushed By Oil Price Collapse - CNN «

Countries that produce the world's crude are getting
crushed by low prices.
Huge budget surpluses are turning into deficits, and
generous social programs are being replaced with
austerity and cuts.
Oil has collapsed below $37 a barrel, compared to over
$100 in mid-2014. The global oil glut, OPEC's
determination to pump like there is no tomorrow, and
slowing demand from China and other countries are
pushing oil prices to new lows.
Here are the five countries hit the worst.
1 Venezuela
Venezuela has the world's largest oil reserves. Its
government has for years used the money it makes
producing oil to pay for pensions, health care, social
benefits and even to subsidize housing and grocery
stores.
But now, the economy is on the brink of collapse. Inflation
soared over 150% in 2015 and is expected to rise over
200% next year. The government is unable to pay its bills,
and food and basic supplies are in short supply.
The economic downturn has led to political turmoil. Earlier
this month, the country's opposition won a majority in an
election for the first time in 17 years.
2 Saudi Arabia
Oil accounts for 75% of Saudi Arabia's revenue and the
country's finances are getting slammed. The government
ran a nearly $100 billion budget deficit in 2015 and
announced tough austerity measures for next year.
"That's a reminder that even the world's lowest-cost oil
producer relies on high(er) prices to balance its budget
and current prices don't come anywhere close," Kit
Juckes, global strategist at Societe Generale, said.
3 Nigeria
Africa's biggest oil producer is in trouble. Oil accounts for
roughly 75% of Nigeria's government revenue, and almost
90% of the country's exports.
The plunge in oil prices has left the government unable to
pay its bills. Local media reported that in some regions,
state employees haven't received salaries in months.
The country is suffering from power cuts and fuel
shortages.
4 Russia
Nearly half of Russia's government revenue comes from
oil and gas exports. The plunge in oil prices came when
Russia was already suffering because of Western
economic sanctions, imposed on Moscow over its
involvement in the crisis in Ukraine.
Russia's budget is based on an oil price of $50 per barrel,
but oil is trading around $37. The International Monetary
Fund expects Russian GDP will shrink by 3.8% this year
and by another 0.6% in 2016.
5 Iraq
Low oil prices are crushing Iraq's finances when the
country desperately needs income to fund its war against
ISIS.
Iraq has been pumping record amounts of oil this
year, but the increase in production hasn't
compensated for the drop in prices. The country
has huge oil reserves, but needs more investment
in infrastructure to access it.