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IMF: Middle East War Reshaping Global Economic Outlook
The International Monetary Fund has reported that the war in the Middle East has become the most significant factor shaping the outlook for the global economy in 2026, with global economic growth expected to slow to 3%, down from 3.5% in 2024 and 2025. It explained that the impacts of the war vary between countries, with energy-exporting economies outside the conflict zone benefiting, while energy-importing economies, especially those with low income, are experiencing setbacks. The region faces top risks of continued geopolitical escalation, energy market volatility, and high inflation.
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