Jakarta, June 29 -- Indonesia must prepare for the ripple effects of the ongoing conflict between Iran and Israel, a researcher warned.

"While the impact may not be immediate, the conflict could spark global economic instability-particularly in energy, trade, and fiscal sectors," Ahmad Heri Firdaus, a researcher at the Institute for Development of Economics and Finance (INDEF) said here on Sunday.

During an INDEF public forum on Iran-Israel war impact in Jakarta, Ahmad noted that the Islamic Republic holds the world's third-largest oil reserves.

Any disruption in its oil supply-especially if the Strait of Hormuz is blocked-could sharply drive up global energy prices.

"Oil-importing nations like Japan and those in Europe would feel the...