New Zealand Finance Minister Nicola Willis and international counterparts have issued a joint call for the immediate return of free and safe transit through the Strait of Hormuz to protect global economic stability.
- Joint call from 11 nations for a “swift and lasting” negotiated solution to the conflict.
- Warnings that the U.S. blockade of the Strait has halted sea trade to and from Iran.
- Commitment to avoid protectionist trade barriers and export controls on energy products.
The statement was released while Minister Willis was in Washington DC for the International Monetary Fund and World Bank spring meetings. She was joined by the finance ministers of the United Kingdom, Australia, Japan, Sweden, Netherlands, Finland, Spain, Norway, Republic of Ireland, and Poland.
Global Economic Risks and the Strait of Hormuz Transit
The ministers emphasized that the current disruption in the Strait of Hormuz poses serious risks to global energy security, supply chains, and financial stability. They called for transit measures that mitigate impacts on growth, energy prices, and living standards, specifically for the most vulnerable populations.
Despite ongoing negotiations to end the war, the United States has blockaded the Strait, completely halting economic trade going in and out of Iran by sea.
The group welcomed the announcement of a ceasefire and urged all parties to implement it in full. The ministers noted that recent weeks have seen an unacceptable loss of life and significant disruption to financial markets.
Regarding domestic policy, the ministers acknowledged that their balance sheets remain restrained. They committed to “fiscally responsible and targeted” responses to the crisis.
The New Zealand government has previously stated that any provided support would be “timely, targeted, and temporary.” Prime Minister Christopher Luxon remained reluctant last week to confirm if such support would be expanded.
The finance ministers further reaffirmed their commitment to open and rules-based trade for energy products. They called on all countries to avoid protectionist actions, including unjustified export controls and stockpiling in hydrocarbon supply chains.
The group concluded by committing to reforms that strengthen resilience and accelerate long-term energy diversification, including improved energy efficiency and the clean energy transition.
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