Oil demand is set to fall year on year for the first time since the the financial crisis in 2009, due to the knock-on effects of the coronavirus outbreak.
“The consequences of Covid-19 for global oil demand will be significant,” the Paris-based International Energy Agency (IEA) said in a monthly report.
“Demand is now expected to contract by 435,000 barrels per day (bpd) in Q1, the first quarterly decrease in more than a decade.”
The IEA forecast a fall in demand for oil produced by OPEC, while growth in output by US companies might not be affected until later in the year.
It assumed economic activity from the second quarter would return to normal.