Shaima

As the report on Tuesday, the International Energy Agency (IEA) said that the Omicron coronavirus variant will slow the recovery in global demand for oil but the market will be “more comfortable” in 2022. It also said new containment measures put in place to halt the spread of the virus are likely to have a more muted impact on the economy versus previous Covid waves, not least because of widespread vaccination campaigns. Due to additional limits on foreign travel, the International Energy Agency (IEA), which brings together oil-consuming countries and advises governments on energy policy, has reduced its prediction for world oil demand by an average 100,000 barrels per day for both this year and next year. The agency is now trying to increase in global oil demand of 5.4 million barrels per day in 2021 and by 3.3 million in 2022, when it will to return to pre-pandemic levels at 99.5 million bpd. Earlier this month, the Organization of Petroleum Exporting Countries (OPEC) and their allies agreed to stick to planned increases in output in January, despite the economic uncertainties linked to Omicron.