The demand will increase until 2022, experts say.
World oil demand will grow by an average 1.2% per year until 2022, predicts the International energy Agency (IEA).
The increase in oil demand will contribute to accelerating the pace of global economic recovery, noted in the IEA. Moreover, demand growth in this period will be provided by countries outside the Organization for economic cooperation and development (OECD), particularly in China and India.
In 2022, the global demand for oil will amount to 103.8 million barrels per day (b/d) compared to 96,6 million b/d in 2016, the IEA predicts. According to Agency estimates, demand will exceed 100 million b/d in 2019.
The growth in oil demand in Africa will be constrained by political uncertainty in Nigeria, South Africa and Libya, I believe in the IEA. Demand in Latin America will resume after 2017, experts predict the Agency.
IEA report notes the signs of a gradual recovery in investment by oil companies amid a decline in production by OPEC States.
According to the forecast of the Agency, investment in the sector will grow in 2017, after declining by 25% to 433 billion dollars in 2016.
We will remind, the OPEC countries and States that are not members of that organization are unable to fully implement the agreement on reduction of oil production in January.
According to the materials: