Japan pledges $10bn to help Asian countries deal with oil crisis

Japan pledges $10bn to help Asian countries deal with oil crisis40 minutes agoShareSaveAdd as preferred on GoogleKoh EweJapan Cabinet Public Affairs OfficeSanae Takaichi announced the new cooperation framework after an online meeting with other Asian leadersJapan has pledged to provide $10bn (£7.4bn) to help its Asian neighbours, especially those in South East Asia, secure energy including crude oil as the region reels from disruptions caused by the Iran war.Japanese Prime Minister Sanae Takaichi announced the new cooperation framework on Wednesday after an online meeting with other Asian leaders.Japan relies on South East Asia for petroleum-derived products, most notably medical equipment - something that Takaichi stressed at a press briefing on Wednesday."Japan is closely interconnected with each Asian country through supply chains and mutually dependent with them," she said.Japan's cooperation framework aims to help Asian countries procure crude oil and petroleum products, as well as maintain supply chains and expand stockpiles.Asia is especially vulnerable to energy supply disruptions stemming from blockades of the Strait of Hormuz, as nearly 90% of the oil and gas passing through the key waterway is bound for the region.The $10bn in financial aid is roughly equivalent to a year's worth of crude oil imports by countries in the Association of Southeast Asian Nations (Asean), Japan's foreign ministry said.The ministry added that the initiative was welcomed by leaders at the meeting - including those from the Philippines, Malaysia, Singapore, Thailand, Vietnam, Bangladesh and South Korea - and that funding for the project would come from a range of sources.These include state-backed institutions like Japan Bank for International ​Cooperation and Nippon Export and Investment Insurance, as well as the Japan International Cooperation Agency and the Asian Development Bank.Takaichi said the initiative would not negatively impact Japan's dom...