The Group of Seven finance ministers and central bank governors will meet in Paris Monday and Tuesday as they grapple with higher long-term borrowing costs and the economic fallout from the Middle East conflict.
The Iran war has sharply disrupted oil and gas flows through the Strait of Hormuz, which carries about 20% of global oil and liquid natural gas (LNG) shipments.
That has stoked inflation concerns, with U.S. annual CPI inflation rising to 3.8% in April, the highest since May 2023.
"Opening the Strait of Hormuz and bringing the conflict to a lasting end are of the utmost importance in mitigating the impact on the economy," Eurogroup President Kyriakos Pierrakakis said in a statement Friday.
"The situation in the Middle East highlights just how exposed our interconnected economies are to external shocks." The global economy will feel the pressure, "even if the conflict is resolved swiftly," Pierrakakis, who is also the Greek finance minister, said.
