Oil reaches record highs amid Iran conflict, G7 moves to implement emergency steps
Photo: oil tanker Bella 1 (Getty Images)
The International Energy Agency has called on G7 countries to consider the joint use of strategic oil reserves amid a sharp rise in energy prices due to the situation in the Middle East, states Japan’s Finance Minister Satsuki Katayama, according to Reuters.
"IEA called for each country to do a coordinated release of oil reserves," Katayama emphasized.
He added that the G7 countries agreed to closely monitor the situation on energy markets and take additional measures if necessary.
"The G7 has agreed to continue closely monitoring developments in the energy market and to take necessary measures to support global energy supply, including the release of oil reserves," the minister said.
Representatives from the Organisation for Economic Co-operation and Development, the World Bank, and the International Monetary Fund also participated in the meeting.
According to Katayama, the G7 countries plan to hold a separate meeting of energy ministers in the near future to discuss further steps.
The war in the Middle East has triggered a crisis in the global energy market. One key factor has been the sharp reduction in shipping through the Strait of Hormuz.
Due to the threat of attacks, Iran is effectively blocking vessel traffic in the area, raising concerns over potential disruptions in global energy supplies.
Against this backdrop, oil prices have surged, surpassing $100 per barrel.
Rising global prices are already being felt in Ukraine. In recent days, fuel prices at gas stations have gradually increased in response to the higher cost of oil on international markets.
Meanwhile, US President Donald Trump stated that the short-term increase in oil prices due to the escalation of the conflict with Iran is justified. According to him, once the nuclear threat from Tehran is eliminated, energy markets will quickly stabilize, and prices will return to previous levels.
