The US Central Command (Centcom) confirmed that its forces launched strikes on a military site in Bandar Abbas, a strategic port city in Iran. This move comes despite a ceasefire between Tehran and Washington, with the two countries holding talks to end the three-month-long conflict that has effectively closed the key Strait of Hormuz.
The Strait of Hormuz is one of the world's most critical waterways, with around 20% of global oil and liquefied natural gas (LNG) supplies usually passing through it. With tensions escalating, oil prices have been on the rise, and the latest attacks sent shockwaves through the global energy market.
Brent crude oil rose by 3.75% to $97.83 a barrel, while US-traded crude was 4% higher at $92.22. The US and Israel launched attacks on Iran on February 28, prompting Tehran to threaten to attack vessels using the shipping route.
Iran's military has been actively patrolling the Strait of Hormuz in an effort to deter any further US or Israeli attacks. In a statement, the Iranian Revolutionary Guard Corps (IRGC) warned that any vessel passing through the strait without a valid permit would be considered a 'legitimate target'.
Meanwhile, the impact of these attacks on the global economy remains to be seen. With oil prices at a near-record high, many countries are already feeling the pinch. Ghana, for instance, is heavily reliant on imported fuel, and a significant increase in oil prices could have a devastating effect on the Ghanaian economy.
The escalating tensions between the US and Iran are a major concern for many around the world. It is not yet clear how this situation will unfold or what the consequences will be for the global economy.