The Saudi economy is proving resilient in the face of the war in the Middle East thanks to strong fundamentals and diversified logistical and oil infrastructure, said an International Monetary Fund (IMF) mission statement.
The heads of four major global economic institutions warned on Friday that the war in the Middle East is posing growing risks to the world economy, with disruptions to oil shipments through the Strait of Hormuz driving down global inventories and threatening energy security ahead of peak summer demand.
The heads of the International Energy Agency (IEA), International Monetary Fund (IMF), and World Bank Group will meet on Monday to discuss the energy crisis triggered by the Iran war.
The Heads of the International Energy Agency, International Monetary Fund, and World Bank Group have agreed to form a coordination group to maximise their institutions’ response to the energy and economic impacts of the war in the Middle East.
Growth across the Middle East, North Africa, Afghanistan and Pakistan (MENAP) region is set to slow sharply in 2026 following the economic shock triggered by the recent US–Israel–Iran war, the International Monetary Fund has warned.
After withstanding higher trade barriers and elevated uncertainty last year, global activity now faces a major test from the outbreak of war in the Middle East, which threatens to disrupt growth, says the latest World Economic Outlook report from IMF.
The impact of the Middle East war is substantial, global, and highly asymmetric, disproportionately affecting energy importers, in particular low-income countries, said heads of the International Energy Agency, International Monetary Fund, and World Bank Group.
Low-income Countries (LICs) are navigating a fluid global environment marked by high uncertainty and shifting policies in major economies spanning trade, migration, digital finance, and spending priorities, including national security and foreign aid, says an International Monetary Fund (IMF) staff paper.
The war in the Middle East is upending lives and livelihoods in the region and beyond. It is also dimming the outlook for many economies that had only just shown signs of a sustained recovery from previous crises, says key IMF directors in a blogpost.
IMF Managing Director Kristalina Georgieva warned the escalating US-Israel-Iran conflict risks pushing global inflation higher, after oil prices surged more than 30 per cent in Asian trading to their highest levels since 2022.
