The heads of the International Energy Agency (IEA), International Monetary Fund (IMF), and World Bank Group have convened a high-level meeting to address mounting pressures on global energy markets and the broader economy stemming from the ongoing war in the Middle East.
In a joint statement issued after the meeting, the leaders expressed deep concern over the far-reaching and uneven impact of the conflict on the global economy.
According to the statement, while the effects of the war are being felt worldwide, energy-importing and low-income countries are bearing the brunt of the crisis. Rising prices of oil, gas, and fertilizers have heightened risks to food security and increased concerns over employment. At the same time, several energy-exporting countries in the Middle East are also facing notable declines in export revenues.
The organizations cautioned that the situation remains highly uncertain, noting that shipping through the Strait of Hormuz has yet to fully return to normal. Even after normalization, restoring global supply chains to pre-conflict levels is expected to take time. Damage to critical infrastructure may keep fuel and fertilizer prices elevated over an extended period.
They further warned that ongoing supply chain disruptions could lead to shortages of essential inputs across the energy, agriculture, and industrial sectors.
The conflict has also triggered population displacement, job losses, and a downturn in travel and tourism—effects that may prove difficult to reverse in the short term.
The statement emphasized that the institutions are closely monitoring developments in the most affected countries and are coordinating their responses accordingly. The IMF and World Bank stand ready to provide targeted policy guidance and financial assistance where needed.
The leaders also reaffirmed their commitment to continuously assess the evolving impact of the conflict on global energy markets and the wider economy. They pledged to work closely with international partners to support a stable, sustainable, and job-rich recovery.
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