Sejong: President Lee Jae Myung has urged the government to devise strategies to mitigate the potential economic repercussions in the event of a prolonged crisis in the Middle East. This call to action comes as the Strait of Hormuz, a crucial artery for global oil transport, remains effectively closed due to the ongoing U.S.-led military actions in Iran, now entering their third week. The situation has raised alarms for South Korea, a nation heavily reliant on energy imports.

According to Yonhap News Agency, during a Cabinet meeting held in Sejong, President Lee emphasized the need for comprehensive preparedness, including the worst-case scenario, should the Middle East crisis extend. He advocated for enhanced diplomatic efforts to secure alternative crude oil sources and additional energy-saving initiatives, such as implementing car license plate restrictions on a rotational basis.

President Lee also proposed considering emergency measures like export controls or increasing the use of nuclear power plants if necessary. He highlighted the importance of these strategies as South Korea seeks to stabilize its energy supplies. The country has already implemented an oil price cap and secured an agreement for 6 million barrels of crude oil from the United Arab Emirates (UAE).

Despite the relative stabilization of fuel prices following the oil price cap system's introduction, President Lee noted the escalating situation in the Middle East. He warned that if the current trend persists, oil prices may once again become volatile, with significant impacts on citizens' livelihoods.

In addition to these measures, President Lee called for the swift preparation of a supplementary budget to support vulnerable groups and export companies. He urged the National Assembly to expedite the review process for this proposal upon submission. Furthermore, he stressed the need for additional budget allocations to support non-capital regions and financially vulnerable populations in navigating the external economic shocks.