LONDON (Reuters) – The International Energy Agency raised its forecast for oil demand for 2020 on Friday, but warned that the spread of Covid-19 posed a threat to expectations.
The Paris-based agency increased its forecast to 92.1 million bpd, up 400,000 bpd from its forecast last month, indicating a lower-than-expected drop in the second quarter.
The agency said in its monthly report, “While the oil market has made progress without a doubt … the large number, and in some countries, the number of cases of Covid-19 has accelerated, a worrying reminder that the pandemic is not under control and that the risks to our market expectations certainly” tend to the downside.
The International Energy Agency said that the easing of public isolation measures in many countries resulted in a strong recovery in fuel derivatives in May and June, and probably also July.
Moataz Mohamed prepared for the Arab publication