The World Bank Group could mobilize between $20 billion and $25 billion in rapid aid for countries affected by the economic fallout of the war with Iran, according to statements by its president Ajay Banga reported by Bloomberg.
This initial funding package aims to address the economic emergency caused by the conflict, particularly in countries dependent on energy imports or exposed to disruptions in global markets. The objective is to provide rapid support to the most vulnerable economies.
Ajay Banga also indicated that, should the war continue, the institution might seek to mobilize additional funding of between $50 and $60 billion. Such an increase would reflect the scale of the anticipated global economic impacts.
This aid would be in addition to the measures put in place by the International Monetary Fund, in a coordinated effort to limit the effects of the crisis on growth, inflation and public finances of the countries concerned.
The conflict has already caused a rise in energy prices and tensions in supply chains, particularly affecting emerging economies and developing countries.
The World Bank thus intends to play a central role in post-conflict economic stabilization, by mobilizing significant financial resources to support reconstruction and mitigate economic shocks.
While the outcome of the conflict remains uncertain, these projections underscore the scale of the global economic challenges ahead and the need for a coordinated response from major international financial institutions.
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