Source: Radio New Zealand
Finance Minister Nicola Willis. Samuel Rillstone/RNZ
The Finance Minister has joined international counterparts in calling for a return to free and safe transit through the Strait of Hormuz.
Nicola Willis is currently in Washington DC for the International Monetary Fund and World Bank spring meetings, along with other finance ministers.
The finance ministers of United Kingdom, Australia, Japan, Sweden, Netherlands, Finland, Spain, Norway, Republic of Ireland, Poland, and New Zealand have released a joint statement calling for a “swift and lasting” negotiated solution to the conflict.
Despite ongoing negotiations over ending the war, the United States has blockaded the Strait, completely halting economic trade going in and out of Iran by sea.
The ministers called for free and safe transit that mitigated impacts on growth, energy prices, and living standards, for the poorest and most vulnerable in particular.
“Renewed hostilities, a widening of the conflict or continued disruption in the Strait of Hormuz would pose serious additional risks to global energy security, supply chains, and economic and financial stability. Even with a durable resolution of the conflict, impacts on growth, inflation and markets will persist,” their statement said.
Ministers also welcomed the announcement of a ceasefire, and called on all parties to implement it in full.
“The past weeks have brought unacceptable loss of life and significant disruption to the global economy and financial markets, and the ceasefire will be crucial to protecting civilian populations and the security of the region,” the ministers said.
They acknowledged that their balance sheets were restrained, and committed to “fiscally responsible and targeted” domestic responses.
The New Zealand government has repeatedly said that any support would be “timely, targeted, and temporary,” with the prime minister last week reluctant to say whether that support would be expanded.
Willis and her counterparts also reaffirmed their commitment to open and rules-based trade on energy products.
“We commit to avoiding, and call on all countries to avoid, protectionist actions, including unjustified export controls, stockpiling and other trade barriers in hydrocarbon and other supply chains affected by the crisis. We commit to promoting cooperation and integration to support regional and global stability,” they said.
“We will also continue reforms that strengthen resilience and accelerate long-term energy diversification, including through the clean energy transition and improved energy efficiency. We welcome any steps countries may take to achieve these objectives.”
Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
