Jakarta, CNBC Indonesia – The blockage of the Suez Canal begs many stories. From the start of various appearances meme on social media to the risk of being weakened rupiah exchange rate. Rupiah? How come?
The Suez Canal is one of the main routes of world trade. Through this channel, various goods are sent to various countries.
One of them is oil. The Middle East is the world’s largest oil producing region. When the oil is to be sold abroad, the Suez Canal is one of its main lines.
The delay in oil shipments via the Suez Canal raises the perception that oil supplies on the world market will run low. As a result, the price was raised upward. Yesterday, the price of Brent oil surged 4.23%.
It’s nothing, there’s a chance the Suez Canal could be closed for weeks. Because the ship that was stuck there, the culprit of this problem, had a length of about 400 meters. The Ever Given ship was stuck in a diagonal position, closing all canal access.
“We cannot rule out that this (rescue effort) could take weeks. It depends on the development of the situation,” said Peter Berdowski, CEO of Boskalis (one of the rescue teams), as quoted by Reuters.
Therefore, the price of oil is likely to continue rising. This is certainly not good news for a net oil and gas importer country like Indonesia.
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