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Chief Economist of DBS Group: The blockage of the Strait of Hormuz is unlikely to be resolved quickly
DBS Group chief economist Taimur Baig said that allowing more ships to pass safely through the Strait of Hormuz is not necessarily the solution that some people are hoping for. Iran is allowing more ships to transit, and some cargo is also moving through, but Baig said the frequency of cargo flow is relatively low. “Even for countries like India and Singapore, which have safe passageways, the transit speed would be much slower, and there is always the possibility of something going wrong. So I’m not completely sure that this can solve the problem,” he said. Passing through the waterway still appears to be a high-risk move, and the inflation impact caused by the slowdown in Strait traffic seems unavoidable. (Sina Finance)