WASHINGTON, United States, April 14, 2026 (BSS/AFP) - The IMF cut its 2026 global growth projection Tuesday, warning that the
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world economy could be "thrown off course" by war in the Middle East -- as the conflict roils commodity markets and sparks higher prices. The global economy is set to grow by 3.1 percent this year, said the International Monetary Fund in its World Economic Outlook report, released during its spring meetings in Washington. This is down from 3.3 percent forecast in January before hostilities erupted as US-Israeli strikes against Iran starting on February 28 prompted Tehran's retaliation and sparked a broader conflict in the region. "We were planning to upgrade growth for 2026 to 3.4 percent" if not for the war, IMF chief economist Pierre-Olivier Gourinchas told AFP. Prices of oil, gas and fertilizers have surged due to the conflict, as Iran virtually blocked traffic through the Strait of Hormuz, a key waterway for shipments. US President Donald Trump has also ordered a naval blockade around Iran's ports. The fund expects higher inflation this year at 4.4 percent, 0.6 percentage ...