Global Oil Demand in Freefall on Pandemic, IEA Chief Says
- Consumption decline to worsen in the second quarter: Birol
- Effects of supply glut will be felt for years to come, he says
Photographer: Andrey Rudakov/Bloomberg
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Global oil demand is in freefall because of the coronavirus pandemic, a situation that is exacerbated by the price war between Saudi Arabia and Russia, the head of the International Energy Agency said.
Fatih Birol’s comments add to the dire outlook for the oil market with traders, banks and analysts forecasting a huge oversupply as governments shut their economies to combat the contagion. The effects of the glut will be felt for years to come, Birol said.