The International Energy Agency (IEA) on Thursday cut its 2020 global oil demand forecast, citing a resurgence of the Covid-19 pandemic, with vaccines unlikely to have much of an impact until well into next year.
The IEA said that as a result of fresh restrictions imposed by governments in an effort to curb the disease, it expected full-year 2020 global oil demand to come in at 91.3 million barrels per day (mbpd) — down by 8.8 mbpd compared with the drop of 8.4 mbpd given in last month’s regular report.
The rebound next year will be slightly better, however, with an increase of 5.8 mbpd, up from last month’s 5.5 mbpd.
“Vaccines are unlikely to significantly boost demand until well into next year,” the IEA cautioned.
