The Organisation for Petroleum Exporting Countries (Opec) has said yesterday that it had increased forecast for oil demand growth in 2014.

Opec now accounts for about 40 per cent of the world's oil supply and represents 12 countries. The organisation revised its forecast by 50,000 barrels per day to the level of 1.14m barrels of oil per day (bopd) as the global economy begins to recover. The total world demand for oil is expected to increase to the level of 91.1m barrels of oil per day this year compared to 90 million bopd in 2013.

"In light of the prevailing uncertainties, a key determinant for this increase in world oil demand will be the pace of growth in the emerging economies," said Opec in its monthly benchmark report.

Opec includes nations like Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab Emirates and Venezuela. The demand for oil is expected to increase in the US and stabilisation of contraction in demand in Europe. The company also warned of a possible slowdown in emerging markets during the coming year.

Opec said, "This rising risk of a slowdown in growth in the emerging economies has been mirrored in the foreign exchange markets in recent months. Recent developments in Ukraine have added to this year's growth risk."