The International Energy Agency (IEA) announced an unprecedented decision to release 400 million barrels of emergency oil reserves to stabilize global markets affected by recent disruptions in the Middle East.

IEA Executive Director Fatih Birol said that the agency’s 32 member countries convened an extraordinary session and unanimously agreed to deploy the reserves. Birol emphasized the global nature of the oil market, stating, “Oil markets are global, and any response to major supply disruptions must also be global. I am pleased to see member nations demonstrating strong solidarity with decisive action.”

The decision follows joint attacks by the U.S. and Israel on Iranian targets, and Iran’s subsequent threat to close the Strait of Hormuz, a crucial corridor for approximately 25% of the world’s seaborne oil trade. According to IEA data, the volume of oil passing through the strait has fallen to less than 10% of pre-conflict levels, with daily transit averaging 20 million barrels in 2025.

Analysts say the release is the largest in IEA history, surpassing previous emergency actions, and aims to prevent further price shocks and supply shortages in Europe and other dependent regions. Markets have already responded, with oil futures showing signs of stabilization following the announcement.

Birol added that the move reflects a coordinated effort to address geopolitical risks and ensure energy security for member nations, particularly amid escalating Middle East tensions. (ILKHA)