OPEC sees oil demand growth slowing

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OPEC sees oil demand growth slowing

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The energy cartel OPEC is predicting that the growth in demand for oil – which is already weak so far this year – will continue to slow next year.

It blamed Europe’s debt crisis, the faltering US economic recovery and emerging markets suffering a deceleration in their growth.

OPEC said its members will not have to boost their output as increases in production by countries outside the cartel will be enough to cover demand.

The experts at OPEC believe total oil demand this year will be 88.7 million barrels per day, rising to 89.5 million bpd in 2013.

Having hit an all-time high last year revenue will continue to slip to $1,1117 billion next year.

OPEC – which produces a third of the world’s oil – admits there are many uncertainties regarding global economic growth.

The group’s forecasts are close to those from the US government issued earlier in the week.

At the same time OPEC revealed that top exporter Saudi Arabia ramped up crude output to record rates in June despite a big drop in oil prices as Iranian production sank to its lowest in more than 20 years.