After the US and Israel launched their joint war on Iran by assassinating supreme leader Ayatollah Ali Khamenei four weeks ago, Donald Trump urged the Mideast nation’s people “to take back their country”.
There was no uprising, however, and as Iran’s new leadership started firing missiles and drones at Israel and American installations in the Gulf region, it soon became clear there was to be no quick resolution to the crisis.
In spite of the US president continuing to push a narrative around peace talks and fresh threats, markets are more skeptical than ever, with oil prices hitting $117 a barrel on Monday, triggering further fears of shortages worldwide.
The issue is that Iran is blocking the Strait of Hormuz, a critical maritime route through which about a fifth of the world’s oil is transported. This is forcing governments around the world to take steps to safeguard their interests. Here we take a look at what some of them are doing.
UK
On Monday, diesel prices jumped to their highest level since December 2022, with the average price per litre at UK forecourts hitting 181.2p, according to RAC analysis.
In response, chancellor Rachel Reeves was urged to reconsider plans to raise fuel duty by 5p per litre at the end of August. The government was yet to make any announcement and Sir Keir Starmer gave no indication to reporters on Monday.
Last week, Ms Reeves said that contingency planning was underway for "every eventuality" after acknowledging that the full impact of the war on the UK economy was uncertain.
In keeping with previously announced plans, energy bills will fall from April under Ofgem’s price gap, but may rise again before the summer.
Australia
The governments of Tasmania and Victoria made public transport free from this week in a bid to ease the cost of living as energy prices continued to soar.
Egypt
Arguably the country that is imposing the most severe restrictions is Egypt, which relies heavily on imported fuel. Starting last weekend, restaurants, shops and cafes were ordered to close by 9pm to save energy.
Street lights and roadside advertising were dimmed and many people were told to work from home at least one day a week.
Myanmar
The military regime anticipated a fuel shortage soon after the war broke out and launched sweeping rationing for private vehicles early in March, featuring QR codes to deter multiple daily refills. It also told government employees to work remotely every Wednesday.
By mid-March, the pump price of diesel had jumped to 3,800 kyat ($1.80) per litre, up from 2,450 kyat ($1.16) in February.
Domestic airlines running low on jet fuel, large quantities of which Myanmar imported from Iran, suspended routes and adopted strict limits on baggage, with ticket prices tripling on sectors still operational.
Myanmar depends on regional processing hubs of Middle East crude, such as Singapore and Malaysia, for the diesel imports crucial for its struggling economy and farm sector.
Pakistan
The South Asian nations enacted sweeping emergency austerity and fuel conservation measures, mandating a four-day working week for government workers and moving back spring holidays for school.
People were asked to restrict social gatherings, with weddings and parties capped at 200 guests and limited to one main dish.
Ministers, parliamentarians and officials were told to make foreign trips only for essential purposes and in economy class.
Japan
The price of premium gasoline has risen by 20 yen per litre or about nine per cent, adding over 100,000 yen in expenses for the popular season of cherry blossom viewing on cruises in Tokyo.
Fuel subsidies, though, have offset rising raw material costs from a weak yen at a time when annual core inflation has slowed to a nearly two-year low.
Popular snack makers such as Yamayoshi Seika confirmed a hit to their production, especially to flagship products like “Wasabeef”, after running into heavy oil shortages.
The continued shutdown of the Strait of Hormuz and surging oil prices will increase inflationary pressure and prod the Bank of Japan to raise interest rates further.
Philippines
Similar to Pakistan, the Southeast Asian country has moved all government offices to a four-day week.
President Ferdinand Marcos has ordered all government agencies to reduce their fuel and power consumption by up to 20 per cent and banned study tours and team-building activities for public servants.
Thailand
In spite of making a deal with Iran to allow its oil vessels to safely pass through the Strait of Hormuz, Thailand still faces restrictions due to the crisis.
On 10 March, the government asked civil servants to conserve energy, wear short-sleeved shirts to work and use stairs instead of lifts.
It also suspended overseas trips for government employees and ordered them to reduce electricity use in offices by switching off lights and electrical equipment when not needed.
Sri Lanka
A four-day week was introduced for state institutions earlier this month with Wednesday declared “a holiday”. The measure also applies to schools and universities.
The country also introduced fuel rationing, with drivers limited to 15 litres a week.
Bangladesh
Nearly a week into the conflict, Bangladesh closed all its universities and brought forward the Eid holidays as part of emergency measures to conserve fuel amid a worsening energy crisis.
Officials said the measures applied to all public and private universities and would not only reduce electricity consumption but also ease traffic congestion.
On Monday, the government said it was seeking roughly $2.5bn in external financing to support fuel and liquefied natural gas imports and tide over rising energy costs and mounting pressure on foreign exchange reserves.
Vietnam
The government has scrapped with value added tax for gasoline, diesel and aviation fuel until at least 15 April.
Officials have strongly encouraged the public to stay at home and consider using transport options like bicycles when taking journeys.
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