The IEA has claimed the demand for oil will increase by 1.7 percent next year as the world recovers from the recession.

Oil price has most recently dropped below $60 per barrel, amidst concerns about the state of the global economy.

The IEA (International Energy Agency) has predicted demand to fall by 2.9% in 2009.

The IEA has also said that the recover of economies in developing nations will help to boost the price of oil, but is not likely to increase demand for oil until next year.

Oil prices have gone up recently from hitting a low of aroud $30 per barrel. The recovery has slightly faltered, however, and there are signs that the demand for oil will remain low for some time. Oil prices hit an all time peak last summer at a price of $147 per barrel.