KABUL: Major Western economic and business media outlets have reported that ongoing disruptions in the Strait of Hormuz are rapidly depleting global oil reserves built to cushion supply shocks.
Fortune magazine reported on Saturday night that the rapid decline in reserves means the risk of sharp price increases and fuel shortages is growing by the day.
The magazine, citing Morgan Stanley, said global oil stockpiles have been falling by 4.8 million barrels per day between March 1 and April 25 this year.
Published figures show that about 60 percent of the daily decline involves crude oil, while the remainder relates to refined fuel products.
According to the report, the sharp reduction in global oil reserves could leave energy markets vulnerable to disruptions for a long period, even if the conflict eventually ends.
“The most immediate concerns involve several fuel-import-dependent Asian countries,” the report said. Traders warned that Indonesia, Vietnam, Pakistan, and the Philippines could see their critical fuel reserves fall to dangerous levels within a month.
The report also noted that jet fuel reserves in the European Union are declining sharply ahead of the summer travel season, with analysts predicting stocks could reach critical levels by June.
The future of a possible peace agreement between the United States and Iran and the reopening of the Strait of Hormuz, through which around 20 percent of the world’s oil supply passes remains uncertain.