Economist Warns of Potential Economic Downturn in Japan Amid Middle East Conflict

Economist Takeshi Minami from the Norinchukin Research Institute has expressed concerns over the potential economic downturn in Japan if the Middle East conflict persists. According to Jin10, Minami stated that even with Japan's oil supply secured until early 2027, the economy might still face challenges. He highlighted that the conflict could negatively impact Japan through various channels, including economic contraction in emerging markets and a sharp rise in inflationary pressures. Japan currently has ample oil reserves and is working to secure oil imports via routes that bypass the Strait of Hormuz.