Africa feels ripple effects of Iran War
African economies are beginning to feel the impact of the escalating conflict between the United States, Israel and Iran, as disruptions to energy and shipping threaten to push up fuel and commodity prices across the continent.
The crisis has drawn attention to the strategic importance of the Strait of Hormuz, a narrow shipping lane between Iran and Oman through which roughly one-fifth of global oil exports pass. With missiles flying across the region, shipping activity has slowed sharply, raising concerns over the safety of vessels and the continuity of supply.
Oil prices have already reacted to the disruption. A barrel of crude, previously trading between $65 and $70 before the conflict intensified, has climbed to around $80, reflecting fears of prolonged instability in one of the world’s most critical energy corridors.
Higher prices are likely to be felt acutely in Africa, where many countries rely heavily on imported fuel. Nations including Nigeria, Kenya, Ghana, Uganda, South Africa and Tanzania depend on petrol, diesel and liquefied petroleum gas for transport, cooking and electricity generation, particularly in areas with unreliable power grids.
The conflict is also disrupting supply chains from Gulf economies such as the United Arab Emirates, Saudi Arabia and Qatar, which export petrochemical feedstocks used in plastics, textiles, fertilisers and other goods consumed across Africa.
This story is written and edited by the Global South World team, you can contact us here.
