Islamabad:Dr Omar al-Ubaydli, Research Director, Bahrain Centre for Strategic, International and Energy Studies, has said that recent geopolitical tensions significantly intensified existing vulnerabilities in global supply chains warning that the crisis represents one of the most severe disruptions to global energy systems in recent history.
Dr Omar was addressing a webinar on “Strait of Hormuz tensions: pathways for advancing regional energy flows” hosted by Institute of Regional Studies. Dr Omar noted that the Strait of Hormuz remains indispensable for both exports and imports of Gulf economies while also serving as a critical transit point for global energy and industrial supply chains extending to China, South Korea, Europe and beyond.
He emphasised that today’s global economy is far more integrated than in previous decades making it significantly more vulnerable to disruptions in maritime choke points. Even countries that are not directly engaged in regional conflicts, such as the United States, are indirectly affected through global oil price fluctuations which in turn influence domestic economic conditions and political behaviour.
The crisis, therefore, is not isolated but embedded in a highly interdependent international system where shocks travel quickly across regions and sectors. He discussed the multi-dimensional impact of the Strait of Hormuz disruption to regional economies, particularly in the Gulf and neighboring states like Pakistan. Beyond maritime trade, the conflict has affected airspace accessibility, cargo logistics, and the functioning of regional transport hubs such as the United Arab Emirates, Qatar and Saudi Arabia. For Pakistan, the effects are compounded by its reliance on imported energy, exposure to oil price volatility and the economic importance of its diaspora in the Gulf whose remittances and mobility have been disrupted.
The speaker also highlighted Pakistan’s emerging diplomatic role as a mediator, which, while strategically significant, also carries economic and administrative costs in terms of coordination, security and sustained diplomatic engagement.
