World Bank: Escalating Middle East Conflict Could Slash Global Growth to 1.3%

Indermit Gill, Chief Economist of the World Bank Group, told Reuters that the escalation of hostilities between the United States and Iran could spark inflation, drive up interest rates, and slash global economic growth to 1.3%, down from 2.9% last year.اضافة اعلان

Gill, who is set to retire at the end of August, explained that the World Bank outlined three potential scenarios in its June economic forecasts due to the intense uncertainty surrounding the war in the Middle East.

He added that the worst-case scenario—characterized by hostilities persisting for six months or longer—is approaching realization, under which global inflation would reach 4.5%.