EXPECTED fuel supply shocks from the ongoing geopolitical tensions in the Middle East present real and emerging risks to global fuel supply chains with potential implications for Fiji and the wider Pacific region, the Fiji Institute of Chartered Accountants (FICA) has warned.
And it is urging both organisations and individuals to take practical and forward-looking measures now.
“While Fiji currently has shipments scheduled in the near term, it is important that we do not take this position for granted,” FICA president Sharvek Naidu said in a statement yesterday.
He said the recent fuel price adjustments effective from April 1 are a clear indication of how global developments are already filtering into the domestic economy, with costs inevitably being passed through to businesses and consumers.
“The risk is not limited to fuel prices alone. Any constraints in supply would have a cascading effect across the economy—impacting transportation, logistics, cost of goods and ultimately the cost of living for all Fijians.”
FICA is encouraging both organisations and individuals to take practical and forward-looking measures, including:
• Reviewing business continuity and operational plans
• Considering flexible work arrangements where appropriate
• Promoting efficient and responsible use of fuel and resources
“Preparedness is key,” Mr Naidu said.
“The earlier we begin to plan and adapt, the better positioned we will be to manage any potential disruptions.” He stressed that while Fiji is geographically distant from global conflict zones, it remains economically interconnected, and therefore not insulated from external shocks.
“As a small island economy, we must remain vigilant and responsive to global developments. Awareness, planning, and collective responsibility will be critical in ensuring resilience during uncertain times.”
The organisation reaffirmed its commitment to supporting informed dialogue on economic risks and encouraging practical responses that safeguard both businesses and the broader community.
The ongoing Israeli-US war on Iran, now into its 35th day, has triggered a severe global energy crisis, with oil and gas infrastructure in the Gulf region damaged and shipping traffic through the Strait of Hormuz, responsible for the transportation of 20 per cent of the world’s crude oil supply, now severely restricted.
The International Energy Agency has warned that this energy crisis is the worst in history, with supply disruptions of 11 million barrels per day exceeding the combined impact of the 1970s oil shocks.
