LONDON, June 10: World oil demand will rise at its slowest pace in six years during 2008 as a raft of fuel subsidy cuts in Asia erodes consumption, the International Energy Agency said on Tuesday.

But the adviser to 27 industrialised economies also sharply lowered its projection for supply outside the Organisation of the Petroleum Exporting Countries, increasing consumers’ reliance on the exporter group.

In its monthly Oil Market Report, the IEA said global oil demand will rise by 800,000 barrels per day (bpd) this year, 230,000 bpd less than its previous forecast. The head of the IEA’s oil industry and markets division,

Lawrence Eagles, told Reuters this year's demand growth will be the slowest since 2002, when consumption grew by 735,000 bpd and crude averaged just over $26 a barrel.—Reuters