President Sandu: Prolonged Middle East war may drive energy prices up
The conflict in the Middle East may directly affect energy prices and the Republic of Moldova's economy, which relies heavily on imported energy resources. These remarks were made by Maia Sandu, the President of the Republic of Moldova, during a show on Jurnal TV on Thursday, March 5.
The head of state explained that the uncertainty caused by the conflict in the region is already impacting the global energy market. An extended war may lead to price increases across the supply chain.
"If this war continues, we will see not only a rise in energy resource prices but also an increase in the costs of other products and commodities. We hope for a quick resolution to this crisis, but we must recognize that if the war persists, the problem will only worsen," stated Maia Sandu.
The conflict is occurring in a strategically important area for energy resources and trade routes, and any blockage of these routes could reduce the quantities available on the market, according to the head of state.
"There are many energy resources in that region, and it's evident that efforts are being made to block access to these routes. If the war continues, we will face reduced supplies and, consequently, higher prices," said Sandu.
The Republic of Moldova is working to maintain domestic reserves to manage potential market turbulence. However, the main vulnerability remains its dependence on imports. In this context, Maia Sandu emphasized that local producers must also plan for less favorable scenarios.
"We are attempting to save some reserves domestically, but we do not produce enough, which is our major issue—our total dependence on imports. I believe that local producers need to consider a less favorable scenario, which entails a prolonged war, diminished supplies, and increased prices," she remarked.
Furthermore, Maia Sandu highlighted that "in an interconnected world, it does not matter where a crisis occurs; energy resource prices react immediately, and everyone pays the price of destabilization."
The president also reiterated that the developments in the region are concerning. The rise in armed conflicts indicates that the world is entering a more unstable period, and the global security frameworks that nations have relied on for decades are becoming increasingly fragile.
