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Global economy under ‘major threat’ from Strait of Hormuz crisis: IEA chief | The Express Tribune
International Energy Agency chief Fatih Birol. PHOTO: REUTERS
The global economy is under “major threat” from the energy crisis caused by the Middle East war and “no country will be immune” to its effects, International Energy Agency chief Fatih Birol said Monday.
Speaking at the National Press Club in Australia’s capital, Birol compared the current energy crisis to those of the 1970s and the impact of Russia’s 2022 invasion of Ukraine.
“This crisis as things stand is now two oil crises and one gas crash put all together,” Birol said. “The global economy is facing a major, major threat today, and I very much hope that this issue will be resolved as soon as possible,” he added.
“No country will be immune to the effects of this crisis if it continues to go in this direction. So there is a need for global efforts.”
Strait of Hormuz
US President Donald Trump and Tehran have issued tit-for-tat threats as the war entered its fourth week, with the US president demanding the Islamic Republic reopen the blocked Strait of Hormuz, through which around 20% of the world’s oil and gas shipments transit.
The bottleneck has nearly halted all petroleum shipments through the narrow waterway.
Oil prices rose again early Monday, with US benchmark crude briefly touching the $100-per-barrel mark. Birol told Australian media that at least 40 energy assets across the region had been “severely or very severely damaged” in the conflict.
Birol made his remarks as the war between the US, Israel and Iran rages on. Iran on Monday faces a deadline by Trump to open up the Strait of Hormuz or face a major US assault on power plants, as Israel warned of weeks more of war.
Read More: US permits 30-day sale of Iran oil at sea in effort to tame prices
Israel also gave the clearest signs, yet it intends a ground campaign into Lebanon, destroying a key bridge as it vows to crush Hezbollah, the Shia Muslim movement backed by Iran.
Trump, after enthusiastically backing Israel in the war the two countries launched on February 28, is under political pressure as fuel prices rise, the result of Iran’s attempts to retaliate in the oil-rich Gulf.
Trump on Saturday threatened to “obliterate” Iran’s power plants if it did not, within 48 hours, end its partial blockade of the Strait of Hormuz. Meanwhile, Iran’s Revolutionary Guards said on Sunday that the Islamic Republic will completely shut the strait if Trump executes threats to target Iranian energy facilities.
Business
Co-op boss quits after ‘toxic culture’ claims reported by BBC
Co-op chair Debbie White said: “We thank Shirine for her leadership and for the significant contribution she has made to our Co-op, to our communities and to the co-operative movement during her tenure. The Board is grateful for her commitment and leadership, particularly during a challenging few years, and we wish her every success in the future.”
Business
Airfares likely to doubled as jet fuel price aurges to Rs417 in Pakistan – SUCH TV
Air travel is all set to become highly expensive as the airlines are indicating at doubling the air ticket prices following a whopping increase in jet fuel rate.
The jet fuel price has rocketed to Rs417 from Rs388 per litre in Pakistan and the airlines have started to increase the airfares through enhancing fuel surcharge rates.
The airlines maintained the basic fare but added the fuel price surge into the fuel surcharge.
The one-way fare from Karachi to Islamabad and Lahore has shot up to Rs40,000 while air travel on chance seats for Islamabad and Lahore has soared by 150 percent.
Accordingly, the Pakistan International Airlines (PIA) has boosted the airfares by 10 to 100 dollars.
Domestic flights will now carry additional $10 fuel surcharge which on Canada routes extra $100 will be received as fuel charge.
Passengers on UK-bound flights to pay 75 dollars additional surcharge while 50 dollars will be received on Middle East routes.
Private airlines have gone a step ahead as they enforced charging additional 15 dollars to 150 dollars on different routes.
The airlines were under pressure after closure of many air routes with the airlines administrations are saying that extraordinary rise in airfares has become inevitable.
Earlier on Wednesday, Pakistan fuel NOTAM forced foreign airlines to tanker Jet A-1 fuel from abroad and limit uplift at Karachi and Lahore airports.
The Pakistan Airports Authority issued the order to protect local supplies amid supply disruptions.
Foreign carriers now arrive with enough fuel for their return flights while Pakistani airlines receive full requirements.
This change hit operations on March 25 when one Karachi-to-Doha flight diverted to Muscat.
The Pakistan fuel NOTAM A0147/26 took effect on March 13 and runs through March 31 2026. It targets Jinnah International Airport in Karachi and Allama Iqbal International Airport in Lahore.
Airlines follow the rule and carry maximum fuel on inbound legs. Officials confirm foreign airlines get only the minimum quantity inside Pakistan.
Pakistan fuel NOTAM creates immediate changes on the ground. Foreign airlines offload passenger baggage and cargo to stay within weight limits.
The extra fuel adds weight that reduces payload capacity on every affected flight.
According to a Notice to Airmen (NOTAM) issued by the PAA, the supply of aviation fuel at domestic airports has been significantly curtailed due to regional supply chain disruptions, advising international carriers to maximize their fuel “uplift” at foreign stations and minimize refuelling within Pakistan.
The directive has already begun to impact international flight schedules.
Business
NS&I set to pay millions to customers over misplaced funds
The government-backed bank has been accused of a series of errors, including not paying bereaved families money that was rightfully theirs.
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