IMF Warns Iran War Threatens Global Growth, Fuels Inflation & Oil Price Surge

• IMF Deputy Managing Director Katz states the US-Iran war could significantly impact global growth and inflation, altering previous healthy forecasts.
• The conflict's economic fallout depends on its duration and security developments, with IMF assessing physical damage, tourism, and air travel disruptions.
• Oil prices have surged, with Brent crude up 8-10% to $85-90/barrel, following IRGC's blockade of the Strait of Hormuz since late Feb 2026.
• The blockade has halted approximately 20% of global oil/LNG flows, raising fears of prolonged energy shocks and broader inflation.
• Central banks may respond firmly to persistent energy price rises, and IMF urges the US to reduce its current account deficit amid geopolitical risks.