IMF to lower global growth outlook citing Middle East conflict
The IMF is set to lower its global growth outlook, pointing to the ongoing U.S.-Israel and Iran conflict that kicked off in late February.
According to IMF chief Kristalina Georgieva, the war is making supply chains messy and causing energy prices to spike, especially with Iran blocking a key shipping route.
Even with a ceasefire for now, these issues are expected to slow down economic recovery worldwide.
IMF considers $50 billion crisis aid
To help out, the IMF is considering up to $50 billion in financial aid for countries hit hardest by the crisis, especially those facing food shortages (affecting 45 million people).
The exact amount depends on how long the ceasefire lasts.
Leaders at recent IMF and World Bank meetings also flagged big concerns for poorer countries that rely on energy imports, as they are feeling the worst effects right now.