The global economy is under "major threat" due to the energy crisis triggered by the ongoing conflict in the Middle East, International Energy Agency (IEA) chief Fatih Birol warned on Monday, adding that "no country will be immune" to its far-reaching effects, reports AFP.
Speaking at the National Press Club in Canberra, Australia, Birol compared the current energy crisis to the oil shocks of the 1970s and the aftermath of Russia's 2022 invasion of Ukraine, noting the compounded challenges facing global energy markets.
“This crisis, as it stands, is effectively a combination of two oil crises and one gas collapse,” he said. “The global economy is facing an unprecedented threat today, and I sincerely hope that this situation is resolved as soon as possible.”
Birol emphasized the need for immediate international cooperation, stating, “If this situation continues to escalate, no nation will remain unaffected. This calls for coordinated global efforts to address the issue.”
The crisis centers on the Strait of Hormuz, a vital waterway through which around 20% of the world’s oil and gas shipments pass. Tensions have risen as the war in the Middle East enters its fourth week, with US President Donald Trump and Tehran exchanging threats. Trump has called for the reopening of the Strait, which has been effectively blocked, causing a sharp spike in oil prices and disrupting global energy markets.
Bd-pratidin English/Jisan
