With global crude stockpiles falling and demand on the rise in China and India, oil prices will rise in 2018, Iraq’s Oil Minister Jabbar Al-Luaibi was quoted as saying in a media report.

"I am very optimistic that in the first quarter, oil markets will witness balance," Al-Luaibi added according Emirates news agency Wam, which cited Bloomberg.

The Organisation of Petroleum Exporting Countries, of which Iraq is the second-biggest producer, agreed with allies this year to cut output amid efforts to reduce global inventories. The cutbacks contributed to a 15 per cent rise in Brent crude prices this year.

Earlier last week, the Joint Opec-Non-Opec Ministerial Monitoring Committee stated that Opec and participating non-Opec producing countries have shown highest level of conformity with their respective adjustments in production.