IMF Warns of Global Recession

At its spring meetings in Washington, the IMF downgraded its global growth forecast and cautioned that financial markets are currently underestimating the war's economic toll.

The fund highlighted that the closure of the Strait of Hormuz has doubled jet fuel prices and significantly increased the cost of borrowing for developing nations.

Policymakers are urging central banks to resist hasty interest rate hikes, which could further suffocate growth during this period of extreme uncertainty.

The report also warned that global government debt is set to match annual output by 2029, a year earlier than previously projected.