Crisis Due to Iran Escalation Could Cost France Billions of Euros in Economy

JAKARTA - The crisis triggered by the escalating tensions around Iran could cost the French economy between 4 to 6 billion euros (around Rp80.6 trillion to around Rp120.9 trillion).

"This crisis (Middle East) is still very uncertain in terms of its development, and its impact on the economy or public finances," French Economy and Finance Minister Roland Lescure told RTL radio, quoted by ANTARA from Sputnik, Tuesday, April 21.

"We are only considering the possible losses due to the crisis [for the French economy], which is currently still quite vague. We estimate the potential losses to reach 4 to 6 billion euros (around Rp80.6 trillion to around Rp120.9 trillion)," he added.

The French government is considering various responses to the crisis, which the minister called "preventive measures," but did not provide specific details.

On the same day, French Prime Minister Sebastien Lecornu is expected to announce new government support measures for the economy, which will take effect in May, Lescure added.

Previously, on February 28, the United States and Israel launched an attack on a number of targets in Iran, including in Tehran, causing damage and casualties among civilians.

Then on April 7, Washington and Tehran announced a two-week ceasefire. Subsequent negotiations in Islamabad ended without results.

Although there was no announcement of the resumption of hostilities, the US began a blockade of Iranian ports.

This made the mediators try to hold a new round of negotiations.