Karachi, March 4, 2026 – The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has raised serious concerns over potential energy shortages and economic fallout amid ongoing disruptions in the Strait of Hormuz, a key global oil transit route.
In a statement issued on Wednesday, FPCCI warned that any prolonged instability in the strategic waterway — which handles nearly 20 percent of the world’s oil shipments — could rattle global energy markets and severely impact fuel-importing countries like Pakistan.
Global Oil Supply at Risk
Senior Vice President FPCCI and Chairman of the Businessmen Panel-Progressive (BMPP), Saquib Fayyaz Magoon, cautioned that escalating regional tensions have heightened risks to global energy supply chains.
“The prevailing situation has created uncertainty in international markets. Energy-importing countries will be the first to feel the economic shockwaves,” Magoon said.
The Strait of Hormuz is a vital maritime chokepoint for crude oil and liquefied natural gas (LNG) shipments from the Gulf region to the rest of the world. Any disruption to tanker traffic through the route can quickly push up global oil prices and freight costs.
Pakistan’s Energy Imports Under Pressure
Pakistan meets a significant portion of its energy needs through imports from Gulf nations, including Saudi Arabia, United Arab Emirates, and Qatar.
According to FPCCI, disruptions in crude oil or LNG supplies could:
• Increase petrol and diesel prices
• Drive up electricity tariffs
• Add pressure on foreign exchange reserves
• Widen the trade deficit
Magoon highlighted that LNG tanker movements have already been affected, with daily freight rates reportedly surging by more than 40 percent, signaling stress in the supply chain.
Call for Emergency Measures
The FPCCI leader urged the government to take proactive and coordinated measures to mitigate potential fallout, including:
• Securing alternative energy supply routes
• Building up strategic petroleum reserves
• Strengthening diplomatic engagement to de-escalate regional tensions
• Implementing timely policy interventions to protect industry and consumers
He emphasized that coordinated action between policymakers, regulators, and the business community would be critical to safeguarding economic stability.
Economic Outlook Hinges on Regional Stability
With Pakistan heavily dependent on imported fuel, prolonged disruption in the Strait of Hormuz could significantly impact inflation, industrial output, and overall economic growth.
FPCCI reiterated the need for swift policy responses to shield businesses and consumers from cascading import costs and energy shortages, warning that delays could amplify the economic strain.
As global energy markets remain volatile, stakeholders are closely monitoring developments in the region to assess the potential long-term impact on Pakistan’s economy.