No plans to close Strait of Hormuz, regional trade route protected, says Iran envoy
PETALING JAYA: Trade passage through the Strait of Hormuz will remain open and unaffected as Iran seeks to deepen its economic ties with Malaysia and Asean countries, says Iranian Ambassador to Malaysia Valiollah Mohammadi Nasrabadi.
Valiollah said Iran's assurance, despite its ongoing conflict with Israel, was to protect international trade and the economic interests of South-East Asian countries, like Malaysia, as reported by Sinar Harian.
He also said that Iran currently had no intention to close the key trade route and will continue to maintain security for the Strait.
'Iran does not restrict any trade routes and we want this region to remain open for trade and economic cooperation with neighbouring countries, as well as external partners like Malaysia,' he said in a press conference on Thursday (June 26).
He added that Prime Minister Datuk Seri Anwar Ibrahim and Iranian President Masoud Pezeshkian recently held discussions to ensure regional peace and establish a framework for trade cooperation between Malaysia and Iran.
Valiollah also expressed his gratitude to Malaysia for its support of Iran against Israel's recent military actions against them.
'Malaysia, as the current Asean Chair, has a strong voice at the international level, including in the Organisation of Islamic Cooperation (OIC) and the United Nations (UN), to stop Israel.
'We believe Malaysia can play a role in urging the international community to put an end to any form of Israeli aggression against any country in the region,' he said.
On Sunday (June 22), Iran's parliament approved a measure to close the Strait of Hormuz in response to the United State's airstrikes on three of Iran's major nuclear sites.
The Strait of Hormuz currently provides a vital gateway for oil transportation internationally, which Malaysia is a key stakeholder of.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malaysia Sun
an hour ago
- Malaysia Sun
Economic Watch: ASEAN integration drives development of independent regional financial system, analyst says
KUALA LUMPUR, June 28 (Xinhua) -- Greater economic integration among the members of the Association of Southeast Asian Nations (ASEAN) is accelerating efforts to build an independent and resilient regional financial system, aimed at reducing reliance on external currencies and enhancing monetary stability across Southeast Asia, according to a Malaysian analyst. These moves are not meant to target any specific country but rather reflect a desire to move away from external financial volatility and facilitate transactions using local currencies for intra-ASEAN trade, which will enable seamless cross-border transactions, provide greater market access for micro, small and medium enterprises (MSMEs), and also boost regional tourism, Lee Pei May, a political expert at the International Islamic University Malaysia, said in a recent interview with Xinhua. "The push for the use of local currencies has been ongoing for some time, as it helps strengthen the economic integration of ASEAN member states -- an important goal that ASEAN seeks to pursue. In fact, other regions are also moving away from relying too heavily on a single foreign currency, such as the U.S. dollar, as external interest rates and shifting government policies may cause significant volatility in currency exchange," she explained, adding that volatility is undesirable in any business. "Apart from the benefits of easier and faster transactions between businesses and banks of ASEAN countries through the use of local currencies, cross-border payments in local currencies can also help to avoid the volatility from outside the area," she said. Lee also said that allowing cross-border settlements in local currencies would be faster and cheaper, and singled out the tourism sector as a big winner, as tourists in the region will not need to go through the hassle of changing physical money when visiting other ASEAN states. "The Regional Payment Connectivity (RPC) initiative was first established to strengthen payment connectivity among the five ASEAN members, notably Malaysia, Thailand, Singapore, Indonesia and the Philippines. To date, the initiative has expanded to include central banks of Vietnam, Laos, Brunei and Cambodia," she said. "The participation would bring about seamless cross-border transactions and boost tourism in the region. Under the local currency settlement framework, many national payment systems have been linked, such as between Malaysia and Indonesia," she said. Lee also noted that the ASEAN push for local currencies and reduced dependency on external monetary systems has gained momentum amid growing awareness of the risks posed by relying on the U.S. dollar. "In the past, certain currencies were viewed as stable, but due to increasingly unpredictable global developments, this perception is shifting," Lee said, adding that if economic tools were to be used to exert pressure on policy differences, it could have negative implications. "Such risks, even if unlikely, remind us why building regional financial resilience is critical," she said.
The Star
2 hours ago
- The Star
Singapore has increased its security posture amid rising tensions from Iran-Israel conflict, says national security minister
SINGAPORE (The Straits Times/ANN): Singapore has increased its security posture amid rising tensions from the Iran-Israel conflict, said Coordinating Minister for National Security K. Shanmugam. Speaking to the media on the sidelines of a community event in Nee Soon on June 28, he said: 'There is a ceasefire, but we don't know exactly what will happen after this.' People in this region, other regions, or extremist organisations might want to make a point against Israeli, American or other Western assets, he said, adding that there could be attacks from the far right on Muslim assets. If Singapore is ever attacked, it will make international headlines, he said. There is a possibility of attacks on both sides, he said, either by the far right attacking Muslims, or representative of Muslim countries including Iran, and attacks on Western assets – American, European, Israeli. 'So we have increased our security posture, working off different scenarios, but you know, you can never be absolutely sure,' he added. When asked by the media if there have been more suspicious activities or extreme activities since the US air strikes on Iran nuclear facilities, Shanmugam, who is also Home Affairs Minister, said the authorities have not detected anything here yet. 'But they need to succeed only once,' he said, adding that security is a joint responsibility and Singaporeans will need to be more aware of potential security threats. Addressing the conflict between Iran and Israel, Minister for Defence Chan Chun Sing recently also told media on June 25 that retaliation from Iran may not be limited to targets in America or Israel. Chan said that the retaliation could be anywhere else, and could stoke up emotions in the region. These conflicts have resulted in greater security concerns, he had said. Shanmugam on June 28 also said that the Government is looking at the possible 'outflows' to Singapore, in response to Thailand recently recriminalising cannabis. 'The nexus between drugs and crime, and terrorism, also needs to be looked at.' 'We try to maintain our openness and our connectivity, and our business-friendly environment,' he said. 'It is a bit early to say what is going to happen, but we have to be more careful.' Thailand's health ministry on June 24 issued an order prohibiting the sale of cannabis for recreational use and requiring a doctor's prescription for any retail purchase. Shanmugam said that when Thailand decriminalised cannabis previously, there were many people with more liberal views who asked if Singapore was going to change as well. 'I said the Singapore Government decides not based on what other countries do. We take a hard look, we look at the science, we look at the social impact, and the actual impact and we run the government of Singapore and the policies in the best interests of Singaporeans,' he said. 'And I am absolutely convinced, the Cabinet is absolutely convinced that the right policy is to be strict on drugs, and you can see, the people who asked for liberalisation, are shutting their eyes deliberately to what is happening around the world and the immense harm.' 'We work in the best interests of Singaporeans, and it was the right policy to keep it criminalised, not soften our stance, and that remains the right policy,' he added. - The Straits Times/ANN
The Star
4 hours ago
- The Star
Asean integration drives development of independent regional financial system, analyst says
SOUTH-EAST ASIA (Xinhua): Greater economic integration among the members of the Association of South-East Asian Nations (Asean) is accelerating efforts to build an independent and resilient regional financial system, aimed at reducing reliance on external currencies and enhancing monetary stability across the region, according to a Malaysian analyst. These moves are not meant to target any specific country but rather reflect a desire to move away from external financial volatility and facilitate transactions using local currencies for intra-Asean trade, which will enable seamless cross-border transactions, provide greater market access for micro, small and medium enterprises (MSMEs), and also boost regional tourism, Lee Pei May, a political expert at the International Islamic University Malaysia, said in a recent interview with Xinhua. "The push for the use of local currencies has been ongoing for some time, as it helps strengthen the economic integration of Asean member states -- an important goal that Asean seeks to pursue. "In fact, other regions are also moving away from relying too heavily on a single foreign currency, such as the US dollar, as external interest rates and shifting government policies may cause significant volatility in currency exchange," she explained, adding that volatility is undesirable in any business. "Apart from the benefits of easier and faster transactions between businesses and banks of Asean countries through the use of local currencies, cross-border payments in local currencies can also help to avoid the volatility from outside the area," she said. Lee also said that allowing cross-border settlements in local currencies would be faster and cheaper, and singled out the tourism sector as a big winner, as tourists in the region will not need to go through the hassle of changing physical money when visiting other Asean states. "The Regional Payment Connectivity (RPC) initiative was first established to strengthen payment connectivity among the five Asean members, notably Malaysia, Thailand, Singapore, Indonesia and the Philippines. "To date, the initiative has expanded to include central banks of Vietnam, Laos, Brunei and Cambodia," she said. "The participation would bring about seamless cross-border transactions and boost tourism in the region. Under the local currency settlement framework, many national payment systems have been linked, such as between Malaysia and Indonesia," she said. Lee also noted that the Asean push for local currencies and reduced dependency on external monetary systems has gained momentum amid growing awareness of the risks posed by relying on the US dollar. "In the past, certain currencies were viewed as stable, but due to increasingly unpredictable global developments, this perception is shifting," Lee said, adding that if economic tools were to be used to exert pressure on policy differences, it could have negative implications. "Such risks, even if unlikely, remind us why building regional financial resilience is critical," she said. - Xinhua
