Energy Crisis, France Disbursed Emergency Funds of Rp1.22 Trillion

JAKARTA - The French government has launched an emergency aid package worth 70 million euros (around Rp1.22 trillion) to protect key sectors from the "crisis of price volatility" due to the war in the Middle East.

The package targets the transportation, agriculture and fisheries sectors, according to a government statement quoted by Anadolu on Saturday (28/3).

Officials said the move was important to safeguard "food sovereignty" and ensure the smooth running of the national economy.

Small and medium-sized enterprises in the land transport sector will receive assistance of 50 million euros with a fixed payment scheme of 0.20 euro (about Rp3,490) per liter.

Agricultural solar tax will be exempted for one month. The fisheries sector has been allocated 5 million euros to cover fuel costs, which now account for 35 percent of total operations.

The government is also providing "financial buffers," including a suspension of tax and social security payments without fines, as well as a "Boost Fuels" loan of up to 50,000 euros for small businesses.

The measures are in place until April 2026.

The war between the US-Israel and Iran has been going on for a month. Since February 28, the war has killed more than 1,340 people in Iran, including the then Supreme Leader, Ali Khamenei.

Iran retaliated against Israel and a number of areas hosting US military assets in Jordan, Iraq, and the Gulf countries.

The Strait of Hormuz, a route for the shipment of 20 million barrels of oil per day, has been disrupted since early March, which has led to a shortage of supplies and a rise in global oil prices.