Iran War Triggers $1 Billion LNG Bill Shock for South Asia

The ongoing war in Iran has significantly increased the cost of liquefied natural gas (LNG) for South Asia's cash-strapped economies, adding at least $1 billion to their LNG bills.

LNG was once considered a cheap and abundant energy source for emerging economies in the region. However, five months of war in the Middle East have disrupted global supply chains, forcing countries like India and Pakistan to rely on more expensive spot cargoes.

This shift has eroded the cost advantage of LNG, making it less competitive with other energy sources. The impact is being felt across South Asia, where economies are struggling to cope with the rising costs of imports.