Mazaj News (Web Desk) The head of the International Energy Agency, Fatih Birol, has cautioned that markets are not fully accounting for the impact of a long-term shutdown of the Strait of Hormuz, warning that such a disruption would likely push energy prices higher, according to Al Jazeera.
Birol noted that no fresh shipments of oil, gas, or fuel are currently reaching Asian markets, and that early signs of supply shortages are beginning to appear.
He further warned that developing and lower-income nations could suffer the most, as their weaker currencies and limited financial capacity make them more vulnerable to rising costs.
According to Birol, a continued disruption in crude oil flows could also lead to shortages of refined products like diesel and kerosene, which may result in aviation disruptions, flight delays or cancellations, and broader industrial supply chain issues in affected countries.