As tensions between Israel and Iran intensify, now with the US involved, experts say the impact could soon be felt far beyond, hitting your wallet in the form of rising fuel, food, and living costs.

Oil prices are already climbing, and economists warn there’s more to come.

Why Oil Prices Are Rising

The Middle East is home to some of the world’s biggest oil producers, and any conflict in the region quickly rattles global markets. Following the US bombing of Iranian nuclear sites, oil prices jumped 3 per cent, and further escalation could push prices well past $100 per barrel, according to experts.

If the Strait of Hormuz shuts down, the supply will be disrupted, and oil prices could spike.

About 20 per cent of the world’s oil supply passes through the Strait of Hormuz, and if it closes, it will send shockwaves across energy markets and supply chains.

What This Means for Everyday People

Higher oil prices affect much more than just what you pay at the pump. Here’s how:

• Fuel and energy costs: Expect higher prices for petrol, electricity, and cooking gas.
• Food and goods: Rising transport and production costs lead to more expensive groceries, clothing, and everyday items.
• Government budgets: Countries that subsidise fuel, like Indonesia and India, could face serious pressure on public spending.

Who’s Most at Risk?

Countries in Asia and some European nations are vulnerable because they rely heavily on oil imports from the Middle East. India, for example, imports around 85 per cent of its crude oil, while Indonesia brings in about 60 per cent. Countries like Thailand and the Philippines also depend on Gulf oil.

If oil prices increase by $10–20 per barrel and stay high:

• India’s oil import bill could grow by $30–40 billion annually
• Indonesia could face cuts to welfare and infrastructure spending
• Some governments may have to choose between fighting inflation or keeping currencies stable

Are There Any Alternatives?

Not really, not in the short term. Oil reserves might provide a short-term buffer, but they won’t last long.

Without substitutes, prices will need to rise to reduce demand, meaning households and businesses will feel the pinch.

The growing conflict in the Middle East could soon mean:

• Higher fuel and electricity bills
• More expensive groceries and goods
• Pressure on government subsidies and spending

If you’ve ever squeezed your way through Burj Khalifa-Dubai Mall Metro Station during New Year’s Eve or a long weekend, you’ll be thrilled to hear this: A massive expansion is on the way to make your commute smoother and quicker.

Dubai’s Roads and Transport Authority (RTA), in partnership with Emaar Properties, has just announced that the station, one of the city’s busiest and most popular, is getting a major facelift. The upgrade will boost its capacity from 7,250 to 12,320 passengers per hour. That’s a 65 per cent increase.

The upgrade comes as the city gears up to accommodate a growing number of residents, tourists, and event-goers, especially during big celebrations like UAE National Day and New Year’s Eve, when crowds surge past 110,000 at this station alone.

Here’s what’s changing:

• The station’s area will increase from 6,700 to 8,500 square metres
• Daily capacity will reach up to 220,000 passengers
• More escalators and elevators to ease crowd flow
• Separate gates for entry and exit to streamline movement
• Wider concourse and platform areas
• Enhanced pedestrian bridges and easier access
• More fare gates and retail spaces

Mattar Al Tayer, Director General and Chairman of the RTA Board, said the move is a direct response to the steady rise in metro usage at this stop, which connects commuters to Downtown Dubai, Burj Khalifa, Dubai Mall, and the bustling Boulevard.

The numbers prove it:
From 6.13 million passengers in 2013, the station jumped to over 10.57 million in 2024, that’s nearly 58,000 people passing through every single day.

In a major UAE government move, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, and Ruler of Dubai, has announced the creation of a new Ministry of Foreign Trade and renamed the Ministry of Economy to the Ministry of Economy and Tourism.

Taking to the social media platform X, Sheikh Mohammed said the decisions were made in consultation with His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE.

“Brothers and sisters, after consultation with my brother, the President of the State, may God protect him, and with his approval, we announce today several changes in the UAE government as follows: The Ministry of Foreign Trade was established in the UAE government and the name of the Ministry of Economy is changed to Ministry of Economy and Tourism,” the Dubai Ruler wrote in his post.  

Key announcements include:

• The establishment of a new Ministry of Foreign Trade, with Dr. Thani Al Zeyoudi appointed as the minister.
• The Ministry of Economy is now renamed the Ministry of Economy and Tourism, to reflect its broader scope. Abdullah Bin Touq Al Marri will continue to lead it.
• The National Artificial Intelligence System will become an advisory member of the Cabinet, starting January 2026. It will also join the Ministerial Council for Development and the boards of all federal entities and government-owned companies.

The integration of AI into key decision-making bodies aims to enhance policy efficiency, provide real-time technical advice, and support future-focused governance across sectors.

Sheikh Mohammed emphasised that the move aligns with the UAE’s ongoing commitment to innovation, agility, and strategic leadership at all levels of government.