Global economic impact of Iran war ‘unbearable,’ Qatar warns as talks continue

The Iran war has put an “unbearable” strain on the global economy, Qatar warned on Tuesday, as it said meetings aimed at reaching a deal were continuing and Doha resumed its role as a mediator between Washington and Tehran.

“How long can the international economy withstand the results of what is happening in our region?” Foreign ministry spokesperson Dr Majed Al Ansari said at a press briefing in Doha.

Asked about the prospects for an agreement, Al Ansari said, “In any agreement, there are obstacles. Our role is to overcome the difficulties and try to bridge the gap between the two sides, and that is what is happening now.”

He said meetings had taken place in recent days, while Qatar passed messages between the parties. He would not say how far the negotiations had progressed.

Al Ansari said another escalation would bring more hardship to the region. Qatar was still pressing for a peaceful resolution despite being hit by missiles from Iran, he said.

The Gulf states, Iraq and Jordan had not chosen to take part in the war between Iran and the US, Al Ansari said. They had no separate conflict with Tehran to settle, he argued.

“This is an aggression, an unwarranted aggression against our countries,” he said, adding that Tehran needed to make clear that it would not attack neighbours caught up in a war they had not joined.

Despite the attacks, Qatar remained in contact with Iran as it tried to mediate an end to the war. Al Ansari said a lasting settlement would also require regional security arrangements based on coexistence and non-aggression.

For now, Doha was trying to bring the parties closer to an agreement and reopen Hormuz to free navigation, he said.

Dr Al Ansari said the Gulf exported far more than oil and gas to the world, including urea and ammonia, important to agriculture and fertiliser production, as well as helium, petrochemicals and aluminium.

He pointed to effects on crop yields in vulnerable countries and increased coal burning in places that had been cutting back. The strain could grow worse as winter approaches, he warned.

The war which began with joint US-Israeli strikes on Iran in late February has severely disrupted shipping through the Strait of Hormuz, a vital route for Gulf exports.

Qatar has repeatedly stated it wanted full freedom of navigation restored as part of any peace deal between Washington and Tehran.