00:00Malaysia must be prepared to face impacts such as pricier imports due to the conflict in the Middle East,
00:07says Malaysian Investment Development Authority Chairman Tengku Zafrul Aziz.
00:11Tengku Zafrul said Malaysia was a trading nation with high-value exports and imports transported through the region's airspace.
00:20He said that when routes are unsafe, flights must be diverted or cancelled,
00:25resulting in longer journeys to Europe, higher fuel costs and an increased risk of air cargo delays,
00:31adding that when deliveries are delayed, costs rise and the prices of goods also increase.
00:37Tensions in the Middle East escalated after the US and Israel launched attacks on Iran on Saturday,
00:43sparking retaliatory strikes on Israeli territory as well as on US military facilities in the Middle East.
00:49Tengku Zafrul said that when the world is unstable, investors tend to seek safe-haven assets such as the US
00:57dollar and gold,
00:58which in turn puts pressure on the ringgit through capital outflows.
01:01He also said the impact of the conflict on Malaysians would depend on its duration,
01:07with limited effects if it is brief, but a need for preparedness if it drags on.
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