The International Energy Agency (IEA) said Thursday that it has revised down its forecast for the growth of world oil demand this year and next year.

In 2005, global demand for oil would rise by 1.5 percent to 83.3 million barrels per day, and by 2.0 percent to 85.0 million barrels per day in 2006, the IEA said.

It has lowered its forecast for the growth of global oil demand by 70,000 barrels per day to 1.20 million barrels per day for 2005 and by 90,000 barrels per day to 1.66 million barrels for 2006.

"With crude and product prices now below pre-hurricane levels and refinery and crude capacity returning, the market appears to have weathered the storm," said the IEA in its monthly report.

"But while spot prices are below their peaks, it must not be forgotten that just a few months ago 60-dollar per barrel crude prices reflected extreme market tightness. Moreover there is potential for further tightness to emerge, particularly if the weather (in the northern hemisphere) turns cold and recent buoyant economic growth continues," said the report.

Source: Xinhua