SEOUL, June 23 — Acting Finance Minister Lee Hyoung-il on Monday warned that global financial and energy markets could face increased volatility due to rising tensions in the Middle East.
Lee made the comments during a meeting on macroeconomic trends and risks, pointing to heightened uncertainty following recent U.S. military action in the region.
“After U.S. airstrikes, Iran’s parliament moved to close the Strait of Hormuz, which adds serious uncertainty to the situation,” Lee said. “Today, global oil prices have already risen by 2 to 3 percent, showing signs of growing instability in international energy markets.”
He urged government agencies to remain on high alert and closely track energy prices and global supply and demand trends. Lee stressed the need for a swift and coordinated response if conditions worsen.
“Authorities must step up their vigilance and carry out thorough reviews of global energy market movements,” he said.
To help ease the burden on consumers, the government has extended fuel tax cuts for another two months, until the end of August. The current policy reduces gasoline taxes by 10 percent and diesel and liquefied petroleum gas (LPG) taxes by 15 percent.
“Alongside the extension of fuel tax cuts, the government will tighten monitoring of the oil market to stop illegal pricing practices that exploit rising costs,” Lee added.
