IMF raises concern over global inflation, output over US-Israel war on Iran

The International Monetary Fund (IMF) said on Thursday it was monitoring the impacts of the US-Israel war on Iran on global inflation and output, but that no countries had so far approached it for emergency assistance related to the conflict.

“If prolonged, higher energy prices will lead to higher headline inflation,” said IMF chief spokesperson Julie Kozack at a press briefing.

Kozack said that if oil prices remained above $100 for a year or more, the estimated impact on global inflation could be a rise of up to two percentage-points, with output dropping one percentage-point, according to “a broad rule of thumb.”

She also confirmed that the IMF had “not received any formal requests for emergency financing” in the wake of the US-Israel war on Iran.

The US and Israel launched strikes on Iran on February 28, sparking a war that has engulfed the Middle East and seen Tehran virtually blockade the key Strait of Hormuz waterway.

About 20 percent of the world’s oil and natural gas passes through the........

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