In Washington, where he is attending meetings of the G7, G20, and IMF, the French Minister of Economy, accompanied by the Governor of the Bank of France, insists that Paris refuses to pay to pass through the Strait of Hormuz.
In a serious atmosphere, the French Minister of Economy and Finance, Roland Lescure, is holding meetings with the countries of the G7, G20, and the International Monetary Fund (IMF) in Washington. The war in Iran and “its impact on our economies” are indeed the top concern of the world’s top financial officials gathered in the American capital. “The range of possibilities is still very wide,” given the uncertainty about a de-escalation of the conflict and a blockade of the Strait of Hormuz.
Despite the urgency in the Middle East, the Minister stressed that “it is out of the question for Ukraine to be a collateral damage of the war in Iran.” “Russia should not reap the benefits of this crisis,” emphasized Roland Lescure. The surge in oil prices for over six weeks has enabled Moscow to increase its export revenues. Washington had lifted sanctions for a month. On Wednesday, the American Finance Minister, Scott Bessent, announced that he would not renew this moratorium favorable to Kremlin interests. Regarding the surge in oil prices, Roland Lescure assured that “if we need to release stocks again, we will do it.”
At the minister’s side, the Governor of the Bank of France, François Villeroy de Galhau, assured; “We will act without hesitation but without haste.” In the coded language of central bankers, this means that the European Central Bank (ECB) will raise interest rates to curb inflation if it becomes significant and enduring. Among less urgent topics, but ones cited by Roland Lescure as one of the three priorities in his discussions in Washington, are rare earth minerals. “It is out of the question to replace one dependency (hydrocarbons) with another, rare earth minerals,” he declared. China has a near-global monopoly on the refining of these essential minerals for energy transition and has already restricted its exports. Roland Lescure reported “unanimous support” from France’s partners on this issue.
