Deputy Prime Minister and Minister of Economy and Finance Koo Yun Cheol (fifth from right) on April 3 holds a meeting with the ambassadors of the six member countries of the Gulf Cooperation Council at the official residence of UAE Ambassador to Korea Abdulla Saif Al Nuaimi (fourth from right) in Seoul. (Ministry of Finance and Economy)
By Kim Seon Ah
In a meeting with ambassadors to Korea from the six Gulf Cooperation Council (GCC) member countries, Deputy Prime Minister and Minister of Economy and Finance Koo Yun Cheol has discussed the economic effects of the Middle East conflict and cooperation for stable energy supply.
The Ministry of Finance and Economy on April 5 said Minister Koo held a meeting on April 3 with the United Arab Emirates (UAE), Saudi Arabia, Qatar, Kuwait, Oman and Bahrain at the official residence of UAE Ambassador to Korea Abdulla Saif Al Nuaimi in Seoul. They reviewed the surge in international oil prices, higher volatility in financial markets and instability of global supply chains due to the conflict in the Middle East.
Participants expressed concerns of the effects of escalating tensions in the Strait of Hormuz on the supply and prices of crude oil and LNG, potentially leading to a global economic slowdown.
Minister Koo mentioned the potential for an economic shock in Korea given the nation's reliance on the Middle East for about 70% of its crude oil, most of which passes through the strait.
Based on an "unwavering partnership," the minister and the ambassadors agreed to cooperate in the stable supply of crude oil and LNG and maintenance of the supply of pivotal items. The GCC states also called Korea a top priority partner and pledged to maintain close communication.
Minister Koo also announced Seoul's responses to the crisis like stabilizing the prices of petroleum products, reducing fuel taxes, expanding policy financing and disbursing a supplementary budget. Seoul and the GCC also agreed to raise cooperation in future-oriented sectors such as artificial intelligence and the defense industry.
sofiakim218@korea.kr
