World Bank: Continued Middle East conflict will drag down global economic growth

The World Bank has stated that if the Middle East conflict leads to a reduction in energy supply and a decline in stock prices, global economic growth this year will be less than half of what it was in 2025. The World Bank predicts that the global economic growth rate will slow down from 0.029 last year to 0.025 this year, which is lower than the forecast of 0.026 in January. The Chief Economist of the World Bank, Indimet Gill, stated that escalating hostilities or disruptions in commodity supply will push up prices, exacerbate inflation, trigger financial pressures, and lower economic growth. If the shipping interruption ends, the World Bank expects the US economy to grow by 0.022 this year. About two-thirds of the global economy will face a slowdown in growth, with developing countries being the most severely affected.