Overview
- At this week's meetings in Washington, finance chiefs said renewed strikes on ships reversed brief hopes of smoother flows through the Strait of Hormuz and exposed how little they can do to end the conflict driving the shock.
- The institutions outlined up to $150 billion in support for countries hit hardest and urged governments not to hoard oil or use broad fuel subsidies that drain budgets without helping those most in need.
- The IMF trimmed its 2026 global growth view to 3.1% and said the world is sliding toward a weaker 2.5% path, warning that a prolonged war and blocked Hormuz traffic could tip the global economy into recession.
- Markets still look calm, with stocks at highs and oil futures easing, but officials said confidence means little until tankers move freely with affordable insurance and physical energy prices retreat.
- Uneven fallout is building, as the IMF singled out the UK for a sharper downgrade to 0.8% growth in 2026 given its gas‑heavy power system and limited storage, and as developing countries face surging oil and fertilizer costs that the World Bank says could push 50 million people into acute hunger and erase up to 15 million jobs.