OPEC+ technical committee downgrades 2021 estimate on demand growth, deficit on oil market

OPEC+ technical committee downgrades 2021 estimate on demand growth, deficit on oil market
  • Clock-gray 14:03
  • calendar-gray 31 March 2021

Supply shortage on the global oil market may average 0.8 mln barrels per day in 2021 in a base case scenario, according to a copy of the OPEC+ technical committee’s report drafted to the meeting of the ministerial monitoring committee, APA-Economics reports quoting TASS.

The adjusted deficit outlook turned out lower than projected in March when the technical committee’s experts expected it at 1.2 mln barrels per day. Meanwhile, the demand growth outlook has been downgraded from 5.8 mln barrels per day to 5.6 mln barrels per day.

The report totally presents two scenarios: a base case scenario, which envisions that OPEC+ will continue reducing oil production in accordance with the decision taken in March, and an alternative scenario, which stipulates a possible slower demand recovery.

Emil Ismayilov

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