US-Iran peace deal may take time to restore nation's economy, global oil supply

Malaysia's economy and the global oil supply will likely require time to stabilize, even with the recent peace agreement between the United States and Iran, according to the nation's Economy Minister, Datuk Akmal Nasrullah Mohd. Nasir.

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The global crisis involving geopolitics has significantly impacted the country, especially concerning oil supply.

The minister welcomed the move towards peace, stating that prolonged conflicts have a direct impact on oil markets and international supply chains. However, he urged against excessive complacency, warning that the situation remains fluid and susceptible to unforeseen factors. "The global crisis involving geopolitics has significantly impacted the country, especially concerning oil supply," he noted.

Nasrullah emphasized that the restoration of trade routes in the Strait of Hormuz and the repair of conflict-damaged infrastructure are necessary prerequisites for the global energy market to return to normal operations. "Therefore, the situation will also require time to be fully restored before its positive effects can be felt by the global economy," he added.

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Therefore, the situation will also require time to be fully restored before its positive effects can be felt by the global economy.

Moving forward, the ministry will continue to monitor developments and assess the conflict's impact on the national economy. The National Economic Action Council (MTEN) meetings will persist until a clearer picture emerges regarding the crisis resolution. The U.S. and Iran reportedly agreed to an immediate and permanent cessation of military operations across all fronts, including Lebanon, ending over three months of conflict in West Asia. A formal signing ceremony was scheduled for June 19 in Switzerland.

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We will maintain our commitment to continue looking at the role that can be played, including through MTEN meetings, which we will continue to hold until the situation truly provides a clearer picture regarding the end of this crisis.