G-7 Vows to Take All Necessary Steps for Energy Market Stability

Tokyo, March 30 (Jiji Press)–The Group of Seven major democracies, in a communique on Monday, said that they “stand ready to take all necessary measures in close coordination” to preserve the stability and security of the energy market. The communique was compiled by G-7 energy and finance ministers and central bank chiefs in their online meeting held the same day to discuss the impact of soaring crude oil prices and other factors on the global economy amid the prolonged Middle East conflict. Industry minister Ryosei Akazawa, Finance Minister Satsuki Katayama and Bank of Japan Governor Kazuo Ueda attended the meeting from Japan. “We welcome IEA (International Energy Agency) members’ decision on March 11 to authorize the largest coordinated oil stocks release,” which came in response to the de facto blockade of the Strait of Hormuz. the communique also noted. Speaking to reporters after the meeting, Akazawa said the G-7 officials confirmed that they would continue to call for readiness to take further necessary actions. During the meeting, Akazawa noted that energy prices are soaring across many Asian countries due to difficulties in procuring crude oil, leading to growing concerns over supply stability. He went on to explain the need to prepare for an additional coordinated release of oil reserves, anticipating that the situation could become even more prolonged. Also speaking to reporters, Katayama explained that, at the G-7 meeting, she pointed out that volatility in the crude oil futures market has spilled over into the foreign exchange market, to the point where “it is now affecting people’s daily lives and the broader economy.” Furthermore, Katayama said she told the G-7 ministers and central bank chiefs that Japan is “monitoring the market with a very high level of vigilance.” The latest meeting was held after G-7 finance ministers and energy ministers discussed oil reserve releases in their individual meetings held on March 9 and March 10, respectively. END [Copyright The Jiji Press, Ltd.]