Asian economies scramble to cushion an Iran war oil shock as growth forecasts tumble

Subsidies and reserves are being used fast — fiscal strain

Asian economies are racing to manage an energy shock tied to the Iran war, as surging oil prices and supply disruptions squeeze households and businesses. Governments are using subsidies, drawing down reserves, and tightening controls, but the cost is mounting. Growth forecasts are being trimmed while inflation expectations rise, reflecting the hit from higher energy prices.