Global economy could face far more severe consequences if West Asia conflict extends into 2027: IMF

The International Monetary Fund(IMF) has said the global economy could face far more severe consequences if the West Asia conflict extends into 2027, potentially driving oil prices to around 125 dollar per barrel. Managing Director of the International Monetary Fund, Kristalina Georgieva said, current conditions including a prolonged conflict, oil prices remaining at or above 100 dollar per barrel, and rising inflationary pressures have already triggered the IMF’s adverse scenario. Under the adverse scenario, global growth is expected to slow to 2.5 percent in 2026, while inflation could rise to 5.4 percent.