The escalation between Israel and Iran in recent days has caused the oil price to rise sharply. The International Energy Agency IEA, however, believes that the slowed demand in combination with increased production from Opec countries means that there is a buffer for the oil market.
"The oil market appears to be well-supplied for the coming years," writes the head of the International Energy Agency IEA Faith Birol according to Bloomberg.
The global demand for oil is expected to continue to increase slightly during 2025 and the following years. According to the IEA's forecast, the demand will decrease for the first time since the pandemic in 2020 in 2030. In China, the decline in oil demand is expected to come as early as after 2027.
