The World Bank said it could mobilise as much as $100bn in financial support over the next 15 months to help developing economies cushion the impact of escalating tensions in the Middle East.
The potential increase in funding comes as the lender warned the conflict could drag global growth to its weakest level since the COVID-19 pandemic, as surging energy prices, persistent inflation and tighter financial conditions weigh on economic activity.
In its latest Global Economic Prospects report obtained on Friday, the bank projected global growth would slow to 2.5 per cent in 2026, down from 2.9 per cent in 2025, with around two-thirds of economies seeing downward revisions since its January outlook.
Growth is expected to edge up to 2.8 per cent in 2027 but remain below the average recorded during the 2010s, the report said.
The World Bank said it was immediately making between $50bn and $60bn available through existing financing instruments, including $25bn in pre-arranged funding. The resources are expected to support social safety nets, strengthen government finances and provide liquidity for businesses and farms affected by the crisis.
