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الوئام
ECB Warns Inflation Persisting Amid Hormuz Crisis
European Central Bank policy maker, Olli Rehn, warned that continued conflict in the Middle East could keep inflation rates high in the eurozone due to disruptions in energy prices and navigational tensions in the Strait of Hormuz. He emphasized the need for the bank to prepare for a prolonged conflict, with expectations of raising interest rates at the upcoming meeting by 25 basis points to 2.5%, to strengthen resilience against inflation that could rise to 3.3% in August. Despite increasing inflationary pressures, the region's economy has shown relative resilience, with growth forecasts ranging between 1.5% and 2% in 2026, amid long-term risks stemming from geopolitical tensions and rising oil prices, which have exceeded $90 a barrel amid renewed concerns over the ongoing crisis.
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