Asia Revives COVID-Era Strategies Amid Deepening Fuel Crisis
Asian nations are revisiting pandemic-era strategies to confront an escalating fuel crisis, exacerbated by disruptions in the Strait of Hormuz and a conflict involving Iran. Governments across the region are considering measures such as remote work, reduced office hours, and public energy-saving campaigns to mitigate the impact.
Several countries have already implemented such steps. The Philippines has shortened the work week in some public offices, while Pakistan has temporarily closed schools and expanded remote work options. In Sri Lanka, authorities have introduced weekly holidays to conserve fuel. Thailand has instructed civil servants to cut energy consumption, including limiting travel and raising air conditioning temperatures. Meanwhile, South Korea is actively exploring work-from-home policies, echoing recommendations from the International Energy Agency.
Other nations are focusing on financial relief as surging fuel costs strain household budgets. Japan plans to deploy billions in subsidies to stabilize gasoline prices, while New Zealand will provide weekly support payments to low-income families. In Australia, fuel shortages and panic buying have prompted emergency legislation aimed at preventing price gouging.
However, in a significant departure from the COVID-19 pandemic response, central banks are not easing monetary policy. With inflation rising due to energy costs, some — including Australia's central bank — are instead increasing interest rates, highlighting the challenging balance between controlling prices and maintaining economic growth.
Iranian oil (conceptual image)
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