Middle East Conflict Drives Asia into New Energy Security Phase, Bank of America Says

The simmering crisis in the Middle East has forced Asian governments and corporations to rethink their long‑term energy strategy, Bank of America’s Bernard Mensah told The Business Times on 22 June 2026. The president of international at the bank said the recent disruptions have sparked a broader conversation about the resilience and composition of energy supply chains.

Mensah highlighted that Asian firms are "quite resilient – they’re getting on with it" but are now looking beyond immediate hiccups. They are planning to secure supplies for the next decade, a shift that, according to Mensah, will reach policymakers in Asia and Europe alike, both of whom depend heavily on imported energy.

The debate was ignited by the 2022 Russian invasion of Ukraine, which pushed European countries to diversify and accelerated investments in liquefied natural gas (LNG) infrastructure and renewables. Mensah argued that the Middle East conflict could play a similar role, hastening investment in renewable projects, refinery capacity and new energy infrastructure.

"We are very well placed to be a part of that," Mensah said. He added that the changes would unfold gradually, without a single headline‑grabbing transaction. "I wouldn’t expect a big bang, but I would watch out for some of the smaller pieces that might be put in place," he explained.

Governments, he noted, will have to balance security with affordability. "If you say to the policymakers – just ensure that there’s enough energy, they can do that, but at what price? You’ve got to have the sustainability and resiliency piece as well," Mensah said.

Singapore emerged as a key beneficiary in the interview. The city‑state’s 1.5 million‑barrel‑per‑day refining capacity places it among the world’s top three hubs. Its refining output is largely for export, and it serves as a major bunkering port and price‑discovery centre for refined products.

"Singapore is very well placed for that because Singapore has always had a very strong refining capacity, and the world really needs that right now," Mensah said. He added that commodity and financing flows are likely to increase overall.

Mensah also pointed out that investors and corporates are eager to participate in the shift. "I think investors and corporates would be looking to be a part of that," he said.

The Bank of America perspective mirrors a wider trend of energy‑security reassessment across the region. Asian economies, like many in Europe, are heavily reliant on imported oil and gas. The Middle East conflict has disrupted supply routes and heightened concerns about the stability of the global energy market.

In Singapore, the refining sector is supported by global energy giants and remains a cornerstone of the country’s highly open, pro‑business economy. The city‑state’s competitive standing, high per‑capita GDP and robust financial services sector give it a unique advantage.

Mensah’s view suggests that the next phase of energy security will involve incremental investments rather than large, single‑deal projects. The focus will be on building resilience, diversifying supply sources, and expanding renewable and infrastructure projects to meet the region’s evolving demands.

The ongoing Middle East conflict continues to shape energy policy discussions across Asia and Europe, prompting a reassessment of long‑term supply strategies and opening opportunities for banks, financiers and energy companies to support new projects and infrastructure upgrades.

The current situation remains fluid, with governments and corporations monitoring developments closely and adjusting strategies to balance security, affordability and sustainability.