Former Saudi oil boss says it can cope with low price

Saudi Arabia can cope with low oil prices for "at least eight years", Saudi Arabia's minister of petroleum's former senior adviser has told the BBC.

Mohammed al-Sabban said the country's policy was to defend its current market share by enduring low prices.

"You need to allow prices to go as low as possible in order to see those marginal producers move out of the market," he said.

Mr al-Sabban advised the ministry for 27 years, leaving last year.

Saudi Arabia, the largest producer within the Opec oil producers' cartel, has repeatedly said that it will not cut output to try to boost the oil price.

Mr al-Sabban said Saudi Arabia's "huge financial reserves" would enable it to cope with the low oil price.

The country is now in the process of cutting government spending.

Without these cuts, Mr al-Sabban said, Saudi Arabia could not cope with low oil prices for more than four years.