Jamaica's fuel bill, which was running at US$1 billion during the first five months of this year, is expected to climb, driving the trade deficit, inflation and interest rates higher as the wars in the Middle East and Europe continue to escalate.
The price of the American benchmark crude West Texas Intermediate Cushing jumped to US$103.27 per barrel and the British benchmark crude North Sea Brent blend rose to US$116.72 per barrel last Friday.
This, after the Iranian Revolutionary Guard Command confirmed an attack on four oil tankers which were breaching its navigation instructions, while three others exploded after hitting mines in the Strait of Hormuz.
Approximately 20 million barrels of oil used to pass through the strait before the war involving Israel, the USA and Iran started on February 28.
Crude oil prices also surged on comments by the IRGC that it will be attacking US bases in the region if that country does not remove its blockade of Iranian tankers which are trying to export oil.
The escalation of tensions between the Houthi Rebels and Yemeni and Saudi combat forces also played a role.
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