It is reported that the Organization of the Petroleum Exporting Countries has raised its forecast for worldwide oil demand in 2011 to 87.9 million barrels per day from the previous month's forecast of 87.8 million barrels per day.

OPEC said in its report that "The most important incident is the Japanese earthquake which is expected to affect oil demand only marginally. Global oil demand is expected to grow by 1.4 million barrels per day in 2011 compared with 2010.”

The report said "Japan disaster led to a sudden decline in the country's use of oil as areas of the economy halted and the transportation sector experienced a decline however this is likely to be offset later in the year as the country substitutes some of its shut in nuclear power capacity with crude-burning power generation."

The report said OPEC has cut its global GDP growth forecast for 2011 by 0.1% from its previous forecast to 3.9% with the world economy growth largely expected to be maintained by emerging countries like China 9% and India 8.1%.

Analysts say the situation on the global oil market is improving.

Mr Anastasiya Sosnova an oil analyst with Ivestcafe said "The world oil demand will grow as the world economy is recovering from the financial and economic meltdown. He said that if global demand for oil grows, Russia oil exports are also likely to expand as the situation in Libya and generally in the Middle East is unstable."

(Sourced from RIA Novosti)