The Strait of Hormuz owned by Iran and Oman
The Iranian parliament has approved the closure of the Strait of Hormuz, and the whole world is about to feel it in their pockets. The parliamentary bill now awaits the signature of Iran’s Supreme Leader, Ayatollah Ali Khamenei..
The Strait of Hormuz is a narrow sea passage between Iran and Oman. It connects the Persian Gulf with the Arabian Sea and the Indian Ocean.
Here is the big headache about to hit the world if the big Mullah signs the bill;
Twenty percent of the world’s oil and a third of all liquefied natural gas (LNG) pass through it every day. Oil and gas prices are going to soar overnight.
Stock markets are going to plunge, especially those linked to energy heavy indexes. Currencies of oil-importing countries will be affected.
Its closure will be considered an act of war by America and its allies. This is why the U.S. Fifth Fleet and other naval powers are stationed nearby to ensure the strait remains open. If the situation escalates into war over its closure, it will cause even more problems.
The Strait of Hormuz is jointly owned by Iran and Oman. Africa will face serious consequences despite its distance from the Middle East.
Most African countries rely on imported fuel, so the closure would cause fuel prices to soar across the continent.
This would also lead to higher transport and production costs, pushing up prices for food and everyday goods.
Weaker currencies like the ZIG are going to crash leading to accelerated inflation.
Central banks will be forced to raise interest rates, slowing economic growth.
That is why Donald Trump’s decision to bomb Iran was reckless. America will not be spared either.
If the big Mullah signs the bill, this will be the first time in history that the Strait of Hormuz has been closed. Its closure means the whole world will now be part of this senseless war through its dire economic consequences.
Iranian officials threatened to mine the strait if the United States joined Israel’s attacks on the country, America joined recently!
