American journalist Fareed Zakaria has suggested that the ongoing Middle East conflict is having an unexpected effect strengthening Iran’s economy rather than weakening it.
During a recent interview on CNN, Zakaria explained that Iran is now generating significantly higher revenue from its oil exports, reportedly earning about twice as much as it did before the conflict began. This surge, he noted, is largely driven by rising global oil prices and disruptions to supply routes.
A key factor behind this development is the Strait of Hormuz, a crucial passage for a large share of the world’s oil shipments. As tensions in the region have intensified, instability around this route has pushed oil prices upward. Despite facing sanctions and military pressure, Iran has continued exporting oil, benefiting directly from these higher prices.
Zakaria pointed out the irony of the situation: while Iran is under pressure militarily, it is simultaneously gaining financially from the same crisis. He also noted reports that Iran may be capitalizing further by imposing higher transit-related costs on ships passing through the strategic waterway.
According to him, this dynamic creates a disadvantage for the United States and its allies, as the instability they are trying to manage is inadvertently boosting Iran’s financial strength. These increased revenues could help Iran remain resilient and sustain its position in the conflict for a longer period.
Zakaria concluded by warning that unless global oil routes are stabilized, Iran may continue to profit from the turmoil, making it more difficult to resolve the crisis and restore balance to international energy markets.