IEA: Global energy crisis deepens as war with Iran sends shockwaves worldwide

The head of the International Energy Agency, Fatih Birol, has warned that the current global energy supply crisis—triggered by the conflict involving the United States and Israel against Iran—is the largest of its kind in history.

Speaking at the Atlantic Council in Washington, Birol said member countries of the agency had already released record amounts of oil and petroleum products from strategic reserves in an effort to stabilise global prices, Caliber.Az reports via Russian media.

He expressed particular concern about the vulnerability of several regions, noting that countries in the Middle East such as Bahrain and Lebanon could be affected, alongside developing economies in Asia including Bangladesh, Pakistan, and India. He added that even advanced economies like Japan and South Korea would not be immune to the fallout.

Birol also warned that Europe could face severe disruptions, particularly in aviation and diesel fuel supplies, as the crisis unfolds.

According to the IEA chief, governments around the world are likely to revise their economic growth forecasts downward, while inflation is expected to rise sharply. He noted that the scale and duration of the impact would ultimately depend on how long the conflict continues.

By Sabina Mammadli