economics – Author Carlo Carrasco

SBMA Chairman Aliño Opens New 2-Storey Starbucks Coffee Shop With Drive-Thru In Subic Bay Freeport Zone

March 20, 2026March 16, 2026carlocarrasco

Recently inside the Subic Bay Freeport Zone, Subic Bay Metropolitan Authority (SBMA) Chairman and Administrator Eduardo Jose L. Aliño formally led the opening of a new two-storey Starbucks Coffee shop with drive-thru, according to the official announcement of the authority. The newest branch of the coffee giant was made with an investment of over P36 million.

To put things in perspective, posted below is an excerpt from official announcement by the SBMA. Some parts in boldface…

Subic Bay Metropolitan Authority (SBMA) Chairman and Administrator Eduardo Jose L. Aliño led the opening of the first two-storey Starbucks Coffee Shop with drive-thru facility here on March 6, 2026.

According to Aliño, the opening of the two-storey Starbucks Coffee Shop indicates Subic Bay Freeport’s status as a popular tourist destination, anticipating a year-round influx of customers.

The Starbucks Coffee Shop invested ₱36.75 Million in a 1,700-square-meter area at the portion of Lot 75-A, Rizal Highway, Central Business District, Subic Bay Freeport Zone.

The inauguration was attended by Engr. and Mrs. Rhammeth Paras, Arch. and Mrs. Adonis Co, Mr. and Mrs. Timothy Tang, and Engr. Aries Tanglao, owners of Pandabest Realty and Trading, Inc.

The two-storey Starbucks locations usually offer enhanced, often scenic, spaces with increased seating, frequently housed in restored, architecturally unique, or heritage buildings.

Notable examples include the heritage shophouse in Singapore’s Chinatown, the sprawling Reserve Hiraya in Tagaytay, and a colonial-style bungalow in Rochester.

“Now we have one here, with the building designed to be ‘work and study-friendly,’ providing more intimate, quiet spaces on the upper level compared to the busy ground floor,” Aliño said.

Let me end this post by asking you readers: What is your reaction to this recent development? Have you visited other Starbucks branches inside the Subic Bay Freeport Zone during your recent visit there? Do you think there is still more room for further coffee shops or cafes inside the Subic Bay Freeport Zone? How often do you order coffee by drive-thru?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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GCash Blocks Over 3,200 Merchants Linked To Gambling And Scamming

March 19, 2026March 15, 2026carlocarrasco

In a serious attempt to protect its users and restore confidence, digital wallet GCash blocked more than three thousand and two hundred merchants that were linked to illegal online gambling and scamming, according to a news report by the Manila Bulletin.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

Digital wallet giant GCash has blocked more than 3,200 merchants found to be linked to illicit activities, including illegal online gambling platforms, as part of its effort to bolster consumer protection.

In a statement, GCash said it has been coordinating with the Cybercrime Investigation and Coordinating Center (CICC) since last year to shut down these merchants’ access to the digital wallet.

By prohibiting their access to the digital wallet, this move prevents illegal operators from misusing the QRPh payment rail, which has been used to lure users to fake GCash payment pages.

Many of these illegal merchants employ deceptive tactics to mislead customers into sending payments to unauthorized accounts. Among the most common schemes is QR masking, where seemingly legitimate QR codes redirect payments to a different account.

Scammers also create fake payment pages that imitate legitimate businesses, as well as pages designed to mimic the official GCash interface to deceive customers and collect unauthorized payments.

GCash said it does not partner with these illegal merchants and operators, noting that they are typically independent entities attempting to route transactions through legitimate digital services.

To enhance consumer protection, GCash deploys proactive monitoring to identify and disable these schemes, which are then reported to authorities and the CICC to support government enforcement efforts.

“Entities attempting to misuse the GCash payment app and QRPh without authorization or are masking QRPh leading to unauthorized transactions are flagged, suspended, and reported to the relevant authorities,” it said.

Currently, GCash has measures in place to detect unauthorized merchant activity before users are scammed, helping maintain service integrity.

Furthermore, it immediately disables links to fraudulent operations and reports suspicious transactions to the CICC and the Anti-Money Laundering Council (AMLC).

“By proactively blocking unauthorized actors and reporting them to our regulators and authorities, we are helping protect Filipinos and maintain trust in the country’s digital financial ecosystem,” Miguel Geronilla, chief information and security officer of GCash.

As another layer of security, GCash said users should never share their mobile personal identification number (MPIN) or one-time password (OTP), as these details are not required.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think GCash has done a huge effort to protect its users and other customers? What do you think the scammers and purged merchants will do now that they have been blocked by GCash?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Philippines Unemployment Rate Jumps To 5.8% In January 2026

March 18, 2026March 14, 2026carlocarrasco

With weaker economic growth and other problems already affecting the Philippines, the unemployment rate of the nation jumped to 5.8% this past January, according to a news report by BusinessWorld.

To put things in perspective, posted below is an excerpt from the news report of the BusinessWorld. Some parts in boldface…

The Philippines’ unemployment rate climbed to 5.8% in January 2026, marking its highest level in more than three years, as the labor market cooled after the holidays, the Philippine Statistics Authority (PSA) said on Friday.

Preliminary results from the January 2026 Labor Force Survey (LFS) showed the number of unemployed Filipinos rose to 2.96 million, from 2.17 million in the same month last year, and 2.26 million in December 2025.

PSA Assistant Secretary Divina Gracia L. Del Prado said that the January unemployment rate was the highest recorded since June 2022, when unemployment stood at 6.0%.

The January jobless rate was higher than the 4.3% in January 2025, and the 4.4% in December 2025.

“Usually in our time series, after the Christmas season, our employment rate really goes down… because there are no longer available jobs,” Ms. Del Prado told a livestreamed news briefing.

“Because in December, of course, there are lots of jobs available for our labor force. But month on month, the number of unemployed increased by 695,000. And most of the reasons for this are that people got tired — maybe they were exhausted from working in December, or believing that there are no jobs available,” she added.

The quality of employment also saw a shift, as the underemployment rate — the proportion of those with jobs but seeking more hours — stood at 13.2% in January 2026. This was a tad lower than the 13.3% underemployment rate in January 2025, but higher than the 8% in December 2025.

About 6.35 million Filipinos were considered underemployed persons in January, slightly decreased from the 6.47 million underemployed in January 2025, and 2.42 million seen in December 2025.

The country’s employment rate fell to 94.2% in January 2026, down from 95.7% in January 2025 and 95.6% in December 2025. This was also the lowest employment rate recorded since June 2022 when it stood at 94%.

The number of employed persons in January 2026 fell to 47.94 million, a decline from 48.49 million employed in the same month last year, and 49.43 million in December 2025.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you personally know anyone who has been unemployed for the past three months? Do you consider the higher unemployment rate a sign that the economy of the Philippines could fall into a recession this year?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Japan Releases Oil Reserves

March 17, 2026March 16, 2026carlocarrasco

As expected, Japan officially started releasing yesterday its oil reserves to stabilize the distribution of petroleum products and to ensure a good supply as the war against the Islamic terrorist regime of Iran continues, according to a Kyodo News report.

To put things in perspective, posted below is an excerpt from the news report of Kyodo News Some parts in boldface…

Japan began to release oil from its reserves Monday to alleviate supply concerns that have grown amid the U.S.-Israel war with Iran and stabilize the distribution of petroleum products, taking the step ahead of a planned International Energy Agency-led move.

In its first oil release since 2022, when it joined an IEA coordinated effort following Russia’s full-scale invasion of Ukraine, Japan is initially freeing up 15 days’ worth of reserves held by the private sector, with a month’s worth of state-held oil to follow.

Chief Cabinet Secretary Minoru Kihara said the release was decided as Japan’s crude oil imports are expected to decrease significantly from late March onwards due to the effective closure of the Strait of Hormuz, which many tankers traverse.

“We plan to make efforts so that (the released oil) will circulate in the market smoothly,” he said, adding the government will “continue to take every possible step to ensure the stable supply of energy, through international coordination and without ruling out any options.”

The IEA said Sunday the planned coordinated release of oil by its 32 member countries, including Japan, will “soon start.”

It said last week that the countries will make 400 million barrels of oil available to the market in response to the disruptions resulting from the Middle East conflict.

Crude oil futures have been surging amid growing prospects of a prolonged conflict, with the benchmark West Texas Intermediate crude oil futures contract briefly topping $100 per barrel again in New York on Sunday, after a similar spike a week earlier.

The Japanese government will reduce the mandatory 70-day reserve requirement for oil refiners and trading companies under Japan’s oil stockpiling law to 55 days’ worth, allowing them to draw down their existing stocks for use.

Last Wednesday, Prime Minister Sanae Takaichi announced the government’s plans to release about 80 million barrels of oil, the largest ever, equivalent to 45 days’ worth of domestic consumption and 1.8 times the amount released after the massive earthquake and tsunami in 2011 that devastated Japan’s northeast.

Preparations are under way to sell oil in government-held reserves to wholesalers.

As of the end of 2025, Japan held reserves of approximately 470 million barrels of oil, equivalent to 254 days of domestic consumption, of which 146 days’ worth were government-owned, 101 days held by the private sector, and the remainder jointly stored by oil-producing countries.

Let me end this piece by asking you readers: What is your reaction to this development? Do you think newly released oil reserves will stabilize the Japanese market for petroleum products? Do you think the joint Israel-US campaign against the Islamic terrorist regime of Iran will ultimately cause the enemy to surrender this month?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Philippines Attracted Only $7.79 Billion In Foreign Direct Investment In 2025

March 16, 2026March 12, 2026carlocarrasco

It can be said that 2025 is indeed a very disappointing year for the Philippines as it attracted only $7.79 billion in terms of net inflows of foreign direct investments (FDI), according to a news report by the Manila Bulletin. The said figure is a drop of more than 17% compared with 2024 and it is recalled that the flood control corruption scandal of 2025 negatively affected the nation.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

Net inflows of foreign direct investment (FDI) into the Philippines plunged to their lowest level in a decade—excluding the pandemic slump—as investors stepped on the brakes on injecting funds into the country.

The latest data from the Bangko Sentral ng Pilipinas (BSP) released on Tuesday night, March 10, showed net inflows of FDI stood at $7.79 billion for the full year of 2025, dropping 17.1 percent from the $9.4 billion recorded in 2024.

It bears noting that the 2025 performance marks a significant downturn, as full-year FDI was the lowest since the 2020 pandemic level of $6.82 billion.

Excluding the pandemic period, 2025 net FDI represents the lowest level in a decade since the $5.64 billion recorded in 2015. This contraction was a consistent trend throughout 2025, with cumulative annual growth remaining negative every month since January.

On a positive note, the final figure exceeded the country’s $7-billion full-year target.

According to the BSP, the overall decline in investments was largely driven by net debt instruments, or intercompany borrowings, which shrank by 27 percent to $5.27 billion from $7.22 billion in 2024.

Meanwhile, net equity capital, other than reinvestment of earnings, grew by 31.4 percent to $1.32 billion from $1.01 billion the previous year. Reinvestment of earnings also saw a modest expansion of 2.5 percent, reaching $1.2 billion.

For the full year, equity capital placements were primarily sourced from Japan, the United States (US), Singapore, and South Korea.

Investments were largely channeled into financial and insurance activities, manufacturing, and wholesale and retail trade.

In December 2025 alone, net inflows were recorded at $560 million, marking the lowest in three months since September 2025 at $316 million.

Robert Dan Roces, group economist at SM Investments Corp. (SMIC), said investors delayed their investments, particularly in December. He added that softer inflows likely reflect seasonality.

Looking ahead, Roces believes the ongoing military conflict in the Middle East could add a layer of uncertainty, triggering market volatility. Still, he sees a gradual rebound in 2026 on the back of improving global financial conditions.

“While the Iran conflict adds uncertainty through higher oil prices and market volatility, we still expect FDI to gradually recover in 2026, particularly in manufacturing, renewable energy (RE), and logistics, as global financial conditions ease and supply-chain diversification continues,” Roces said.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the Philippines will be able to rebound strongly this year with foreign investors?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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SBMA And Leechiu Property Consultants To Advance Freeport Investments And Tourism

March 14, 2026March 9, 2026carlocarrasco

Having been to the Subic Bay Freeport Zone many times already, the former US Naval base has been a strong engine for tourism, commerce and investments for the Philippines over the decades. Each time I visited, there was also something new to discover and the economic modernization happened gradually.

In a serious bid to enhance investments and accelerate the growth of tourism, the Subic Bay Metropolitan Authority (SBMA) announced that it has teamed up with the Leechiu Property Consultants (LPC) and their officials had important talks recently.

To put things in perspective, posted below is an excerpt from the official announcement of the SBMA. Some parts in boldface…

Subic Bay Metropolitan Authority (SBMA) officials met with executives of Leechiu Property Consultants (LPC) to explore collaborative initiatives to accelerate tourism growth and investment promotion here.

Led by SBMA Business and Investment Group’s Senior Deputy Administrator (SDA) Renato Lee III, discussions focused on expanding high-impact tourism segments including cruise ship tourism, wreck diving, forest trails, and Meetings, Incentives, Conferences, and Exhibitions (MICE) activities.

David Lee-Chiu, CEO of Leechiu Property Consultants highlighted Subic Bay’s deep-water port and strategic location as key advantages in positioning the Freeport as a competitive cruise ship destination in Luzon.

Lee-Chiu also noted that increased cruise calls would drive growth across hospitality, retail, transport, and local enterprises.

Meanwhile, SBMA Chairman and Administrator Eduardo Jose L. Alino also mentioned “wreck diving” as a strong niche market, with Subic Bay’s historic shipwrecks that continue to attract both domestic and international divers.

Also discussed was the development and promotion of forest trails and eco-tourism experiences, recognizing Subic Bay Freeport’s protected forest areas as prime assets for sustainable tourism, nature-based recreation, and eco-adventure activities.

Let me end this post by asking you readers: What is your reaction to this recent development? If you have visited the Subic Bay Freeport Zone over the past three months, how was your stay and did you find the place worth revisiting? Do you think the SBMA can still achieve so much more in terms of tourism growth and business?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Southie Fest Ongoing At Festival Mall

March 14, 2026March 13, 2026carlocarrasco

Southie Fest, a special event organized by South Snippets and its strategic partners, formally opened yesterday at the Carousel area of Festival Mall in Filinvest City, Alabang. A showcase of varied products and services offered by mostly business joints of the south, Southie Fest will last until Sunday (March 15).

I personally witnessed the opening of Southie Fest. There was a panel discussion wherein three local entrepreneurs shared insight about their respective businesses, how they managed their enterprise through the years, and what they learned from the many local communities of the south. South Snippets co-founder Donna Santiago was with them and she also shared insight about the organization’s drive of promoting businesses and connecting them with people of the South. Santiago confirmed that she is organizing South Snippets full-time.

*The panel discussion held on the first day of Southie Fest inside Festival Mall. From left to right are the host, the three local entrepreneurs and South Snippets co-founder Donna Santiago.*

*Southie Fest is at the 2nd floor of Festival Mall in front of the old Carousel.*

*A few of the many booths/stalls that you can visit to see what they are offering. If you make it there, go around to explore.*

*I had a very tasty avocado shake there at Southie Fest. This one costs P120 and it is of very good quality.*

Within the Carousel area – 2^nd floor specifically – are lots of booths/stalls of varied local businesses offering customers a wide range of selections of food, beverages, accessories, collectibles, clothing, gift items, handcrafted items, services and a lot more. You really have to be there to truly discover them.

Remaining schedule of activities for March 14 and 15, 2026

Today, a “Southie Community Day” session will take place which will emphasize he community members and local digital trendsetters. It will help people understand who the Southie influencers and content creators are and what they do to inspire the community as they promote their respective platforms. There will be Q&A interviews, interactive games, and meet-and-greet opportunities.

On Sunday, the “Southie Family Day” will wrap up the event. Participants can dive into a variety of interactive workshops, creative classes, and community workout sessions. There will lots of things or experiences that participants can discover, and even learn from.

Southie Fest is a special showcase by South Snippets®, with support from JNE Branding Consultancy, Festival Mall, Aly Olaez, Neil de Belen Studios, Nextgen Events Management, Design Specs Printing Services, Carlo Suzara: Host & Content Creator, Terraland Pines, Kato Fertility Center, and the City Government of Muntinlupa.

It is also supported by Mama Lou’s Group and Mama Lou’s Italian Kitchen, Schola de Vita, MEgorgeous, Let’s Glow Aesthetics, Lando’s Bar Las Piñas, Manna & Muse, BetterLife Yoga Studio, Lindy Hop Philippines, Invitations by Ten Arts & Gift Store, BloomsBrewsMNL, Be Club Lifestyle Hub, SOS Children’s Villages Pilipinas, Kalye Negosyo, and Southies Strays.

Southie Fest media partners are labang Bulletin, TigaSouthKaba, WhenInManila.com, Manila Bulletin, Manila Times, Manila Standard, Life In Tagaytay, Life In Alfonso, Chef Beng, Lowkey Lakwatsera, The Quiet Diner, Southieto, Tara Tagaytay, Wild and Sassy Blog, Dyan sa South, Chizbun Eats, The Reel B, Mauriz Coronel, and Mini Shoots.

*The event organizer booth and more nearby.*

For those of you reading this, I encourage you to visit Festival Mall to attend Southie Fest while it is still going on.

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For more South Metro Manila community news and developments, come back here soon. Also say NO to fake news, NO to irresponsible journalism, NO to misinformation, NO to plagiarists, NO to reckless publishers and NO to sinister propaganda when it comes to news and developments. For South Metro Manila community developments, member engagements, commerce and other relevant updates, join the growing South Metro Manila Facebook group at https://www.facebook.com/groups/342183059992673

Meralco Signs MOU With Korean Entities For Philippines Nuclear Power Project Development

March 14, 2026March 10, 2026carlocarrasco

Another step towards a nuclear-powered Philippines happened as the energy giant Meralco signed a memorandum of understanding (MOU) with Export-Import Bank of Korea (KEXIM) and Korea Hydro & Nuclear Power (KHNP) for a strategic partnership on the development of nuclear energy projects in the country, according to a BusinessWorld news report.

To put things in perspective, posted below is an excerpt from the news report of BusinessWorld. Some parts in boldface…

MANILA ELECTRIC CO. (Meralco) has signed a memorandum of understanding (MoU) with Korea Hydro & Nuclear Power (KHNP) and the Export-Import Bank of Korea (KEXIM) to collaborate on the development of nuclear energy projects in the Philippines.

The partnership aims to leverage South Korean expertise to evaluate the feasibility of nuclear power through a multi-faceted approach.

Under the agreement, the three organizations will conduct joint discussions on reactor design and engineering, exchange technical and regulatory information, and work to “strengthen the Philippines’ nuclear legal and institutional frameworks.”

The scope of the MoU also covers early-stage project development, including “public acceptance initiatives, project planning, and site selection studies.”

The companies will focus on business and financial modeling, with KEXIM specifically exploring “potential financing structures and credit facilities” for Meralco’s prospective projects.

Meralco Chairman and Chief Executive Officer Manuel V. Pangilinan highlighted the strategic importance of the collaboration, saying “Partnering with KHNP and KEXIM gives us access to proven global expertise and enables us to study technology, business models, and financing options with greater depth. This MoU marks an early but consequential step in this important process.”

He also said that nuclear energy is a critical component of the company’s long-term strategy to ensure energy security.

“Nuclear energy is a way to diversify our portfolio and reinforce energy security, while offering a degree of insulation from fuel market fluctuations,” he said.

He added that Meralco’s initiative is “complementary to the Philippine government’s efforts to lay the groundwork for its nuclear power program” as the utility provider assesses how the technology can best contribute to its future operations.

KHNP, a subsidiary of Korea Electric Power Corp., is currently the largest power generation company in South Korea, while KEXIM serves as the nation’s state-owned official export credit agency.

Meralco is the country’s biggest private electric distribution utility, serving 39 cities and 72 municipalities. It also has interests in power generation through wholly owned units and equity stakes.

Let me end this post by asking you readers: What is your reaction to this recent development? Now that the MOU has been signed, do you feel more confident about the future of a nuclear-powered Philippines? Do you think new nuclear power facilities in the country will be realized in your lifetime?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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For more South Metro Manila community news and developments, come back here soon. Also say NO to fake news, NO to irresponsible journalism, NO to misinformation, NO to plagiarists, NO to reckless publishers and NO to sinister propaganda when it comes to news and developments. For South Metro Manila community developments, member engagement, commerce and other relevant updates, join the growing South Metro Manila Facebook group at https://www.facebook.com/groups/342183059992673

Trump’s America To Launch Tariff Investigations On Several Countries

March 13, 2026March 12, 2026carlocarrasco

Even as the United States is busy working alongside Israel on the war against the Islamic terrorist state of Iran, the Trump administration announced that it will launch tariff investigations on several countries including trade partners like Japan, according to a news report by Kyodo News. The probes are meant to find out if unfair trading practices exist.

To put things in perspective, posted below is an excerpt from the Kyodo News report. Some parts in boldface…

U.S. President Donald Trump’s administration said Wednesday it will launch tariff investigations into what it sees as unfair practices by China, Japan and over a dozen other American trading partners.

According to U.S. Trade Representative Jamieson Greer, the move is intended to “uncover a variety of unfair trading practices related to excess capacity in production” in the manufacturing sector, and replace Trump’s sweeping tariff regime that was invalidated by the Supreme Court in February.

“Our view is that key trading partners have developed production capacity that is really untethered from the market incentives of domestic and global demand,” Greer told reporters.

The other trading partners facing the investigations, carried out under Section 301 of the Trade Act of 1974, are the European Union, Bangladesh, Cambodia, India, Indonesia, Malaysia, Mexico, Norway, Singapore, South Korea, Switzerland, Taiwan, Thailand and Vietnam, Greer said.

The statute, which allows the U.S. government to impose tariffs in response to a foreign country’s alleged unfair practices, was a favorite tool of Trump for justifying higher tariffs on Chinese imports when he started a trade war with Beijing during his first term as president.

After the U.S. top court on Feb. 20 struck down a large chunk of Trump’s far-reaching tariff agenda as imposed under the International Emergency Economic Powers Act, his administration introduced a new 10 percent global duty.

However, the new 10 percent surcharge, relying on a different legal framework, can only last 150 days unless Congress approves an extension.

Greer said the Trump administration seeks to complete the investigations as quickly as possible and prepare for new Section 301 tariffs within the 150-day period.

The statute requires consultations with the governments of the targeted trading partners before tariffs can be imposed.

Let me end this piece by asking you readers: What is your reaction to this development? Do you think the United States is doing the right thing with the multiple trade investigations? How do you think the Trump administration will adjust its tariff policy once the 150-day period expires?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Japan To Release Oil Reserves As Early As March 16

March 13, 2026March 12, 2026carlocarrasco

As many countries around the world are already struggling with the economic disruptions and the spike in oil prices as a result of the ongoing chaos in the Middle East, Japan has decided to release its own oil reserves and it could happen as early as Monday (March 16), according to a news report by Kyodo News.

To put things in perspective, posted below is an excerpt from the news report of Kyodo News Some parts in boldface…

Japan will begin drawing down its oil reserves as early as next Monday to deal with a possible sharp rise in gasoline and other petroleum product prices amid the Middle East conflict, Prime Minister Sanae Takaichi said.

Takaichi told reporters on Wednesday that Japan will release 15 days’ worth of reserves held by the private sector and then one month’s worth of government-held oil without waiting for a decision coordinated by the International Energy Agency.

It will be the first time Japan has released its government oil reserves individually, not in an internationally coordinated way, since the stockpiling of oil began in 1978.

Japan’s dependency on the Middle East for crude oil is “prominently high” compared with other countries and imports are expected to “significantly drop late this month or later,” necessitating measures to prevent a disruption to the supply of gasoline and other petroleum items, Takaichi said.

Citing the possibility that the average price of domestic retail gasoline could surpass 200 yen ($1.26) per liter, Takaichi also said she aims to keep the price at around 170 yen by utilizing a government fund.

The price of gasoline hit as low as 154.70 yen in mid-January but rose to 161.80 yen per liter as of Monday, according to industry ministry data.

“We will flexibly review the support measures to ensure continuous relief for the public even if the (Middle Eastern) situation is prolonged,” Takaichi said.

Japan imports more than 90 percent of its oil from the Middle East, making it highly vulnerable to the effective closure of the Strait of Hormuz, which has prevented the transportation of oil and gas from suppliers in the Persian Gulf, after the U.S. and Israel attacked Iran late last month.

As of the end of December, Japan had 470 million barrels of oil reserves equivalent to 254 days of domestic consumption, of which 146 days’ worth were government-owned, 101 days held by the private sector, and the remainder jointly stored with oil-producing countries.

Let me end this piece by asking you readers: What is your reaction to this development? Do you think Japan made the right decision to release its oil reserves good for fifteen days? Do you think Japan will be able to find new and alternative sources of oil so that it can cut its reliance on Middle East oil?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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