The International Monetary Fund has cautioned of potential inflation risks stemming from an escalating Iran war, citing a surge in crude oil prices as a direct consequence.
According to IMF Managing Director Kristalina Georgieva, a 10% increase in crude oil prices could lead to a 40-basis-point increase in global inflation if sustained throughout the year.
Georgieva emphasized the importance of preparedness in the face of uncertainty, advising policymakers to 'think of the unthinkable and prepare for it'.
