IMF Warns Global Economy Faces Prolonged Shock From Middle East Conflict
IMF chief Kristalina Georgieva warned Thursday that the escalating conflict in the Middle East poses a prolonged threat to global economic stability. The US and Israel's strikes against Iran have triggered retaliatory attacks across the Gulf, causing oil prices to surge and markets to plunge into turmoil. Georgieva emphasized this 'new normal' of unexpected shocks could impact energy prices, growth, and inflation worldwide. She stressed energy security is 'at stake' for Asia, where markets have fluctuated 'like a roller coaster' in recent days. The IMF head called for urgent policy action to mitigate the crisis, noting 'the sooner we see the end of calamity, the better for the whole world.'