OPEC has decided to cut its total production by 1.5 million barrels a day for the next six months in an effort to stop the global decline in oil prices.
OPEC oil ministers confirmed the agreement during an emergency meeting Friday in Cairo.
Oil prices currently stand at about $20 a barrel, and OPEC wants prices between $22 and $28 a barrel.
News of the OPEC production cut decision sent oil prices slightly lower Friday, amid concern non-OPEC nations would not cut production as much as OPEC wants. Also, analysts said the production cut was factored into the market.
OPEC said in November it would cut production, but it waited until non-OPEC producers agreed to cut their output by 500,000 barrels a day. So far, pledges by non-cartel members, including Russia, Norway and Mexico, amount to about 450,000 barrels a day.