WASHINGTON ¨C The war in the Middle East will lead to higher inflation and slower global growth, the head of the International Monetary Fund said on Monday, ahead of a forecast for the world economy planned by the global lender for next week.
The war has triggered the worst-ever disruption in global energy supply, with millions of barrels of oil production shuttered due to Iran¡¯s effective ?blockage of the Strait of Hormuz, crucial for shipping one-fifth of the world¡¯s oil and gas.
Even if the conflict is swiftly resolved, the IMF ?is set ?to reduce its forecast for economic growth and bump up its outlook for inflation, Kristalina Georgieva, managing director of the IMF, said.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.