The ongoing Iran war and closure of the Strait of Hormuz has created a global economic crisis that extends far beyond energy markets. The UN's trade and development arm reports that what began as a regional disruption is now impacting the entire global economy, with effects persisting even if the conflict ended immediately.
The economic consequences are reshaping growth projections worldwide. The UN expects global economic growth to decelerate from 2.9% in 2025 to 2.6% this year, with developing nations bearing the heaviest burden. The crisis affects not just energy supplies but also fertilizers and other critical goods that typically transit through the region.