IEA: global investment in energy sector to fall by 20%
The volume of global investment in the energy industry this year risks being the lowest in the history of observation - compared to last year it will be reduced by 20%. This is the prediction announced by the International Energy Agency in its new report. Investments in the oil sector will decline most significantly. According to IEA calculations, they will be 32% lower than last year's figures. The drop in investment has already led to increased borrowing and limited oil spending. The latter will fall by more than one trillion dollars this year. Revenues in the electricity sector will drop by $180 billion, while capital spending will drop by $400 billion. The scope and consequences of the coronavirus outbreak have been underestimated, the IEA notes. At the beginning of the year, global investment in the energy sector was expected to grow by 2%, which would be the highest rate in 6 years.