Finance ministers of the G-7 countries and central bank governors on Monday said they are ready to take "all necessary measures" to ensure the stability and security of energy markets amid the ongoing war in the Middle East.
In a joint statement following a virtual meeting, G-7 finance ministers and central bank governors said they continue to closely monitor developments and the potential impact of the Middle East escalation on global growth and financial market conditions.
"We recognize the importance of coordinated international action to mitigate spillovers and safeguard macroeconomic stability," the statement said.
They welcomed the International Energy Agency members' decision on March 11 to authorize the largest coordinated oil stock release.
"In particular, in line with their respective mandates, G-7 central banks are strongly committed to maintaining price stability and to ensuring the continued resilience of the financial system."
Reiterating their "strong commitment" to ensuring well-functioning, stable and transparent energy markets, the ministers expressed support for appropriate efforts to sustain adequate supply in global oil and gas markets.
"In this context, we call on all countries to refrain from imposing unjustified export restrictions on hydrocarbons and related products," the statement said.
They also highlighted the importance of secure and uninterrupted trade flows, including the safety of navigation and the protection of critical maritime routes and infrastructure, as essential to global economic stability and energy security.
They also called on the IEA to continue monitoring developments in energy markets and to provide timely analysis to its members and prospective scenarios to help member countries design appropriate measures to address potential developments.
The US-Israel war with Iran and tensions in the Strait of Hormuz have disrupted regional energy flows, contributing to shortages and price pressures worldwide.
On March 2, Iran announced restrictions on navigation in the Strait of Hormuz, a key transit route for oil tankers, threatening attacks on vessels attempting to pass without coordination.
About 20 million barrels of oil transit the strait daily, and its effective closure has driven up oil prices and shipping and insurance costs, raising global economic concerns.
By Burak Bir
Anadolu Agency
energy@aa.com.tr
