IEA lowers global oil demand growth forecasts for 2025, 2026
Paris: The International Energy Agency (IEA) reduced its global oil demand growth forecast for this year (2025) to 720,000 barrels per day, down from the previous estimate of 740,000 barrels per day.
In its monthly report issued today, the IEA also lowered its 2025 demand growth forecast to 740,000 barrels per day, compared to the earlier projection of 760,000 barrels per day. The agency attributed these adjustments to anticipated economic challenges in the medium term.
Conversely, the IEA raised its global oil supply forecast, expecting an increase of 1.8 million barrels per day this year, up from the previous estimate of 1.6 million barrels per day.
The report indicates that oil supply will remain adequate in global markets this year, provided there are no major disruptions.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Times of Oman
15 hours ago
- Times of Oman
India's petroleum consumption to surge 5.37% annually till 2030: PHDCCI Report
New Delhi: According to a recent report by the PHD Chamber of Commerce and Industry (PHDCCI), India's petroleum product demand is forecast to increase by a CAGR of 5.37 per cent between 2025 and 2030, largely propelled by the manufacturing and transportation sectors. Diesel, petrol, Aviation Turbine Fuel (ATF), and petroleum coke are expected to lead this surge. India's economy is projected to grow at over 6 per cent annually, with primary energy demand increasing at a compound annual growth rate (CAGR) of 5.4 per cent. This robust economic expansion will inevitably fuel higher energy consumption. Additionally, Natural gas consumption is also projected to see substantial growth, with a nearly 60per cent increase (37 bcm/year) by 2030, reaching 103 bcm/year. The City Gas Distribution (CGD) sector, along with heavy industrial and manufacturing sectors, are anticipated to drive this demand. Despite this rising demand, India faces inherent vulnerabilities as over 85per cent of its crude oil needs are met through imports, positioning it as the world's third-largest oil importer. Furthermore, geopolitical instabilities, particularly in crucial chokepoints like the Hormuz Strait and Suez Canal, pose consistent threats to crude supply and pricing. On the price front, Brent crude prices are forecast to decline from an average of USD 81/barrel in 2024 to USD 74/barrel in 2025 and further to USD 66/barrel in 2026. This decline is attributed to a global expansion in petroleum production outside OPEC+ and a more moderate demand growth. Domestically, India's crude oil production is expected to increase over the short term, reaching 48.5 Million Metric Tonnes (MMT) by FY 2026-27, before a projected decline to 45.5 MMT by FY 2029-30 due to maturing oil fields and limited new discoveries. In contrast, natural gas production is anticipated to rise significantly, reaching 54.7 Billion Cubic Meters (BCM) by FY 2029-30.
Times of Oman
a day ago
- Times of Oman
India records highest growth in power generation after US & China in last five years: IEA
New Delhi: India has emerged as a country with the third-largest growth in power generation capacity globally over the past five years, according to the latest report by the International Energy Agency (IEA). Only China and the United States surpassed India in power generation growth during this period. It said "India has seen the third-largest growth in power generation capacity in the world after China and the United States". The report highlighted that India's electricity demand has been rising sharply due to several factors. These include the expansion of commercial and residential spaces, increased ownership of air conditioners and other household appliances, and growing demand from industries. To meet this growing demand, power generation in the country has expanded across all energy sources. The report mentioned that a major driver of this expansion has been the strong push towards renewable energy. The report noted a significant increase in investments in clean energy, especially solar photovoltaic (PV) projects. In fact, solar PV alone accounted for more than half of the total non-fossil energy investment in India over the past five years. In 2024, as much as 83 per cent of power sector investment in the country went into clean energy initiatives. India was also the largest recipient of development finance institution (DFI) funding for clean energy in 2024. The country received around USD 2.4 billion in project-specific funding aimed at boosting clean energy generation. In terms of foreign investment, India has seen a steady rise in foreign direct investment (FDI) in the power sector. FDI reached USD 5 billion in 2023, nearly twice the level seen before the COVID-19 pandemic. This growth is partly driven by government policies that allow 100 per cent FDI in all areas of electricity generation (except nuclear power) and transmission infrastructure. However, the report also pointed out that foreign portfolio investment in India's energy sector has seen a decline in the past two years. This drop is attributed to a mix of macroeconomic and sector-specific challenges, though the long-term trend remains positive.
Times of Oman
a day ago
- Times of Oman
PM Modi, Croatia PM underscore importance of inking India-EU FTA within a year
Zagreb : Prime Minister Narendra Modi and Prime Minister of Croatia, Andrej Plenkovic underscored the importance of concluding a mutually beneficial India-EU Free Trade Agreement. PM Modi and Plenkovic welcomed the renewed momentum in the strategic partnership between India and the EU. "The two leaders welcomed the renewed momentum in the strategic partnership between India and the EU, two of the largest democracies, open market economies, and pluralistic societies. They underscored the importance of concluding a mutually beneficial India-EU FTA within the course of the year, as agreed during the historic visit of the EU College of Commissioners to India in February 2025," the statement read. The two expressed support for a just and lasting peace in the Russia-Ukraine conflict and the Middle East. They reiterated their commitment to promote a free Indo-Pacific region based on mutual respect. "The two Prime Ministers exchanged views on regional and global issues of mutual interest, including war in Ukraine. They expressed support for a just and lasting peace in Ukraine based on respect for international law, principles of the UN Charter and territorial integrity and sovereignty. The two leaders expressed concern about the deterioration of security situation in the Middle East and called for de-escalation between Israel and Iran. The leaders reaffirmed their commitment to promote a free, open, peaceful and prosperous Indo-Pacific built on international law and mutual respect for sovereignty and peaceful resolution of disputes underpinned by effective regional institutions," the statement read. As per the statement, the two sides emphasised the urgent need for reforms in the UN system, particularly the UN Security Council to make it inclusive and transparent. "The two sides reaffirmed their strong commitment to multilateralism and support for a rules-based international order. They emphasised the urgent need for reforms in the UN system, particularly the UN Security Council including its expansion in both permanent and non-permanent categories, to make it more inclusive, transparent, effective, accountable, efficient and better aligned with contemporary geopolitical realities," the statement read. Both sides reaffirmed their commitment to expanding the partnership between India and Croatia. "The Indian side expressed gratitude for the warm hospitality extended to them by the Croatian side. The two Prime Ministers expressed satisfaction at the outcomes of the visit, and reaffirmed their commitment to expanding the partnership between India and Croatia," the statement read. PM Modi paid an official visit to Croatia on June 18. This marked the first-ever visit of an Indian Prime Minister to Croatia to strengthen the growing momentum of high-level exchanges between the two nations.
