As geopolitical tensions in West Asia entered 22nd day — with major oil fields reportedly damaged on both sides — Pakistan, an energy-import dependent economy, is facing heightened risks of economic and financial instability, a new report has said. The report in The Express Tribune highlighted that Pakistan’s domestic crude production remains limited at around 81,000 barrels per day, while consumption is nearly 480,000 barrels — a gap of over 100 per cent — resulting in a large and persistent import dependence. Around 80 per cent of Pakistan’s crude oil and almost all liquefied natural gas (LNG) imports transit the Strait of Hormuz, largely from Gulf suppliers, leaving the country dangerously exposed to external shocks due to overconcentration, it said. These vulnerabilities are not merely structural; they are deeply entrenched and increasingly difficult to manage. The neighbouring country remains highly exposed due to its heavy reliance on imported fuels to sustain industrial activity, electricity generation and transport. (IANS)
Also Read: US and Japan Announce $100 Billion Strategic Investments in Energy and Defense