The International Monetary Fund: The continuation of the war may cause a severe economic shock to the Middle East The International Monetary Fund warned that the prolongation of the war in the Middle East and the appearance of new disruptions in energy production, shipping routes and critical infrastructures are the greatest risk facing the economies of the countries of the region, and their ability to cope with the results of the war is diminishing. Jihad Azour, director of the Middle East and Central Asia department at this institution, said at a press conference in Bangkok on Thursday, October 15, that the war has brought a very unbalanced economic shock to the region and the countries directly involved in it are facing severe pressures. On the sidelines of the annual meeting of the International Monetary Fund and the World Bank, he emphasized that the region's economic outlook depends largely on the speed with which energy production and trade return to normal conditions and the ability of governments to maintain economic stability. According to this official of the International Monetary Fund, the countries of the region have so far managed to contain some of the economic consequences of the US-Israeli war with Iran and the closing of the Strait of Hormuz by using energy reserves, alternative ways of exporting and transportation and adjusting demand. However, Azor warned that these measures only provide a temporary opportunity for the region's economies and their potential is not unlimited. According to him, "reserves have decreased, excess production capacity has become more limited, and the new disruption can lead to much more drastic changes in prices." This warning comes in the context of the fact that more than seven months have passed since the start of the war, energy exports from the region are still facing restrictions and attacks on oil infrastructure and shipping lanes continue. In its latest assessment, the International Monetary Fund predicted that the economy of the Middle East, North Africa and Pakistan would contract by 1.3% this year, after a growth of 3.3% in 2025. Read the full report on the Radio Farda website.

The International Monetary Fund: The continuation of the war may cause a severe economic shock to the Middle East The International Monetary Fund warned that the prolongation of the war in the Middle East and the appearance of new disruptions in energy production, shipping routes and critical infrastructures are the greatest risk facing the economies of the countries of the region, and their ability to cope with the results of the war is diminishing. Jihad Azour, director of the Middle East and Central Asia department at this institution, said at a press conference in Bangkok on Thursday, October 15, that the war has brought a very unbalanced economic shock to the region and the countries directly involved in it are facing severe pressures. On the sidelines of the annual meeting of the International Monetary Fund and the World Bank, he emphasized that the region's economic outlook depends largely on the speed with which energy production and trade return to normal conditions and the ability of governments to maintain economic stability. According to this official of the International Monetary Fund, the countries of the region have so far managed to contain some of the economic consequences of the US-Israeli war with Iran and the closing of the Strait of Hormuz by using energy reserves, alternative ways of exporting and transportation and adjusting demand. However, Azor warned that these measures only provide a temporary opportunity for the region's economies and their potential is not unlimited. According to him, "reserves have decreased, excess production capacity has become more limited, and the new disruption can lead to much more drastic changes in prices." This warning comes in the context of the fact that more than seven months have passed since the start of the war, energy exports from the region are still facing restrictions and attacks on oil infrastructure and shipping lanes continue. In its latest assessment, the International Monetary Fund predicted that the economy of the Middle East, North Africa and Pakistan would contract by 1.3% this year, after a growth of 3.3% in 2025. Read the full report on the Radio Farda website.