The International Energy Agency (IEA) has lowered its forecast for oil demand this year as it suggests global economy remains fragile.
In its latest monthly Oil Market Report, the IEA has estimated global oil demand would stand at 90.7 million barrels a day (b/d), which is 90,000 b/d lower that the forecast made last month.
Oil demand across Europe is now forecast to decline 260,000 b/d or 1.9%.
In terms of supply, global stock went down 300,000 b/d to 90.8 million b/d last month, according to the report. Members of the Organisation of the Petroleum Exporting Countries (OPEC) also produced lower supply of oil in January, with 30.34 million b/d from 54.2 million b/d in December.
The report comes after a day after OPEC projected higher oil demand in 2013, expecting to see it rise by 80,000 b/d.