Global oil demand expected to return to pre-COVID-19 levels by 2022-end: IEA

Oil barrels

Global oil demand is expected to return to pre-pandemic levels by the end of 2022, the Paris-based International Energy Agency (IEA) said.

The IEA forecasts that demand will grow by 5.4 million barrels per day (bpd) this year and a further 3.1 million bpd in 2022, to average 99.5 million bpd next year.

It expects global oil supply to grow at a faster rate in 2022.

"The recovery will be uneven not only amongst regions but across sectors and products. While the end of the pandemic is in sight in advanced economies, slow vaccine distribution could still jeopardise the recovery in non-OECD countries," the agency said.

Moreover, Opec+ will have the room to boost crude oil production by 1.4 million bpd above its July 2021-March 2022 target to meet demand growth," the agency said.