The Secretary-General of the Organization of Islamic Cooperation (OIC), Hissein Brahim Taha, on Monday called for an immediate and permanent ceasefire in Gaza, urging an end to Israeli aggression and the full withdrawal of Israeli forces.

Speaking at the 21st Extraordinary Session of the OIC Council of Foreign Ministers in Jeddah, Taha condemned what he described as genocide, ethnic cleansing, forced displacement, systematic destruction, and the illegal blockade of Gaza, accusing Israel of using starvation as a weapon of war. He also denounced the expansion of Israeli settlements, particularly in the E1 area of Jerusalem, and the targeting of journalists, saying such actions require legal prosecution under international law.

Taha said Israel’s “horrific war crimes” against the Palestinian people demanded a more effective international response, warning that the Israeli government’s stated intention to impose full military control over Gaza and pursue a “greater Israel vision” was a flagrant violation of international law. The session also addressed the escalating humanitarian crisis in the enclave. Taha urged member states to implement resolutions adopted at the Joint Arab-Islamic Summit in Riyadh and welcomed the growing number of countries recognizing the State of Palestine, calling on others to follow suit.

Market Signals

Sector Impacts: Calls for a ceasefire and geopolitical tensions in the Middle East are increasing risk premiums, potentially leading to volatility in global oil prices, impacting Pakistan's energy import costs.
Price Movements & Volatility: Any escalation or prolonged instability in the region could lead to a rise in crude oil prices, affecting Pakistan's energy import bill and overall inflation.
Competitor Positioning Changes: Countries reliant on regional stability may consider diversifying energy sources or strengthening economic ties to reduce dependency on volatile supply chains.

Stakeholder Impact

Pakistan, as a net oil importer, is particularly vulnerable to global oil price fluctuations. Its reliance on remittances from citizens working in Middle Eastern countries also makes it susceptible to the economic impacts of any regional instability. Pakistan's renewable energy sector may benefit from an increased focus on energy security.

Action Timeline

Immediate: Pakistan should closely monitor global oil prices and assess their impact on import costs and inflation.
Short-term: Opportunities for diversifying energy sources and strengthening regional economic ties should be explored to mitigate risks.
Long-term: Pakistan's investment climate should be improved to attract Gulf capital and bolster economic resilience against external volatility.