Global Finance Presses For Hormuz Reopening Amid War Fallout

By Staff, Agencies

The heads of the International Energy Agency [IEA], International Monetary Fund [IMF], World Bank Group [WBG], and World Trade Organization [WTO] warned that the ongoing war in West Asia threatens global energy supplies, trade, and economic stability, despite the global economy showing resilience.

In a joint statement issued after a July 7 coordination meeting, the four institutions said they had reviewed the war's impact on global markets, discussed conditions facing vulnerable countries, and coordinated their response to the continuing economic repercussions of the conflict.

The high-level coordination followed the establishment of the group in April to align the four organizations' efforts in addressing the energy, trade, and financial consequences of the US-"Israeli" war on Iran and its spillover across West Asia.

Meanwhile, the IEA, IMF, World Bank, and WTO said the global economy has remained resilient but warned that the war on Iran continues to disrupt energy supplies, food security, commodity markets, and growth, with vulnerable economies facing greater pressure. They stressed that the conflict’s impacts remain uneven across regions.

Amid these concerns, the four institutions called for an end to the war and the reopening of the Strait of Hormuz, warning that uncertainty continues to weigh on energy markets, shipping, and global economic stability. They urged coordinated efforts to strengthen energy and food security and support recovery.

Looking ahead, the institutions said they would continue monitoring the situation and adjust support as needed, while strengthening assistance to affected countries and resilience in energy, food security, trade, and economic stability.