OPEC Forecasts Demand to Fall 7% by 2023

OPEC is facing challenges as its market share in global oil supplies is expected to shrink due to increased production from non-OPEC countries like the US, Brazil, and Canada. The demand for OPEC oil is projected to decrease by 7% by 2023. OPEC is under pressure to cut production further, but this strategy may backfire by allowing more room for US shale and other non-OPEC supplies. Analysts and former Saudi oil minister Al Naimi have warned that continuous production cuts could lead to a vicious cycle, benefiting non-OPEC producers.

What is the expected percentage decline in demand for OPEC's oil over the next four years?

• 5%

• 7%

• 10%

• 12%

Which country is NOT mentioned as a contributor to non-OPEC supply growth?

• Canada

• Brazil

• Norway

• Russia

What is the main driver of medium-term non-OPEC supply growth?

• Middle Eastern oil

• US shale oil

• European oil

• African oil

What strategy might OPEC need to adopt to maintain a balanced market?

• Increase production

• Maintain current production levels

• Cut production further

• Focus on renewable energy

What risk is associated with OPEC's strategy of cutting production?

• Increasing oil prices

• Decreasing global demand

• Allowing more room for US shale

• Strengthening OPEC's market hold