HIBAPRESS – Agencies
The European Commission announced on Monday that the continuation of the war in the Middle East could negatively impact the global economy, with the possibility of markets being exposed to a strong inflationary wave if tensions in the region do not subside.
European Commissioner for Economic Affairs, Valdis Dombrovskis, said that the continuation of the conflict for a long period could lead to disruptions in maritime navigation in the Strait of Hormuz, in addition to risks related to energy infrastructure in the Gulf countries, which increases pressure on international markets. The European official stressed that these factors combined could lead to rising energy prices and disruption of global supply chains, which could ultimately translate into an inflationary shock affecting Europe and the entire world.
