OPEC Cuts 2026 Oil Demand Growth Forecast by About 71%
The Organization of the Petroleum Exporting Countries lowered its forecast for global oil demand growth in 2026 from 1.4 million barrels per day to 400,000 barrels per day, a decline of about 71.4%.
The Organization of the Petroleum Exporting Countries (OPEC) lowered its forecast for global oil demand growth in 2026 from 1.4 million barrels per day to 400,000 barrels per day, a decline of about 71.4%, according to an announcement by the organization's Secretary-General, Haitham Al Ghais.
The announcement came during a ministerial session titled "Global Oil and Gas Market Outlook" at the 25th World Energy Congress in Riyadh, where Al Ghais attributed the downgrade to weaker-than-expected demand growth during the year.
Despite the sharp cut, OPEC expects part of the unrealized consumption in 2026 to materialize in 2027, which could support stronger demand growth next year.
Al Ghais emphasized the importance of continued investment in the oil and gas sector amid changing global market conditions, while Saudi Energy Minister Prince Abdulaziz bin Salman and other ministers participated in the session.
What Do These Terms Mean?
OPEC: An organization comprising oil-exporting countries that coordinate production policies among themselves to influence global crude prices.
Barrels per day (bpd): A unit of measurement for the rate of oil production or consumption, meaning a quantity of oil equal to one barrel each day.
Demand growth: The amount of annual increase in global oil consumption compared to the previous year, usually measured in millions of barrels per day.
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