IMF
Chief Warns Escalating Middle East Conflict Threatens Global Inflation as Oil
Prices Surge to Multi-Year Highs

Tokyo,
9 Mar 2026 (ONA) — Kristalina Georgieva, Managing Director of the International
Monetary Fund (IMF), issued a stark warning today that the intensifying
conflict involving the United States, Israel and Iran presents significant
upside risks to global inflation, as oil prices soared more than 30 percent
during Asian trading to reach their highest levels since 2022.

Speaking
at a seminar organized by the Japanese Ministry of Finance, the IMF chief
cautioned that a 10 percent increase in oil prices sustained throughout most of
the year could elevate global inflation by approximately 40 basis points,
adding further pressure to an already fragile world economy.

“We
are witnessing a new test of the global economy’s resilience arising from the
unfolding conflict in the Middle East,” Georgieva stated.
“Policymakers must now contemplate and prepare for unforeseen scenarios
that could rapidly materialize.”

The
warning coincided with dramatic movements in energy markets, as Brent crude
futures surged more than 30 percent to peak at $119.50 per barrel, while West
Texas Intermediate crude jumped to an intraday high of $119.43 per barrel. The
sharp appreciation marks the highest price levels seen since 2022 and reflects
mounting market anxiety as the conflict enters its tenth consecutive day,
threatening vital shipping lanes and regional production infrastructure.

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Ends/Khalid