The International Energy Agency (IEA) has upgraded its prognosis for global oil demand this year due to economic recovery post-pandemic.

The agency also informs that the long-standing supply glut is starting to level out, reports Bloomberg News.

IEA raises its estimates for growth in oil consumption by 230,000 barrels per day to 5.7mbpd based on strong economic forecasts for the US and China.

The world is thereby on track to recover roughly two thirds of last year's forfeited volume in crude demand.

"The massive overhang in global oil inventories that built up during last year's Covid-19 demand shock is being worked off, vaccine campaigns are gathering pace and the global economy appears to be on a better footing," writes IEA in its monthly report.

English Edit: Daniel Frank Christensen

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