The impact of the war<\/a> was also predicted to be uneven between different countries depending on levels of energy imports and their proximity to the war, according to the world\u2019s foremost economic organisation.<\/p>\n Georgieva\u2019s address on Thursday morning underlined the consequences of what one month of the US and Israel\u2019s war with Iran<\/a>, and the subsequent hold-up in trading flows across the Strait of Hormuz, would mean for the world economy.\u00a0<\/p>\n She warned that the most severe fuel disruptions will come for islands in the Pacific Ocean, with the ripple effects then spreading around the world.\u00a0<\/p>\n She also said that 45 million more people would suffer from food insecurity, while there were \u201cwarning lights flashing red\u201d for fuel shortages in several countries.\u00a0<\/p>\n Inflation expectations could also \u201cbreak anchor and ignite a costly inflation process\u201d, though Georgieva said long-run confidence in price growth among households and businesses presented \u201cvery good and very important\u201d readings.\u00a0<\/p>\n IMF: Fuel shortages to lead to \u2018ripple effects\u2019<\/p>\n The IMF chief added that infrastructure damage, particularly at Qatar\u2019s Ras Laffan gas complex that is critical for energy supplies<\/a> in Asia, would lead to \u201cno neat and clean return to the status quo\u201d.\u00a0<\/p>\n The IMF<\/a> will update its economic forecasts next week, which will feature specific changes on the outlook for the UK economy.\u00a0<\/p>\n Georgieva asserted that the world economy would suffer from lower growth and warned decision-makers \u201cnot to make things worse\u201d.\u00a0<\/p>\n \u201cI appeal to all countries to reject go-it-alone actions\u2014export controls, price controls, and so on\u2014that can further upset global conditions,\u201d she said.\u00a0<\/p>\n \u201cDon\u2019t pour gasoline on the fire.\u201d<\/p>\n The IMF\u2019s forecast revisions next week will be the second major update on the global economic outlook after the OECD<\/a>, a Paris-based think tank, said the UK economy would be harder hit than any other G7 country by the war.\u00a0<\/p>\n It suggested the UK would suffer the second-lowest level of growth this year and the second-highest level of inflation after the US.\u00a0<\/p>\n There are renewed hopes that the Strait of Hormuz could reopen and allow trade and production to resume, but economists and policymakers have warned that the full reopening will take weeks, given the risk of further escalation and the wobbly terms of the current ceasefire agreement.<\/p>\n President Trump and Iranian leadership officials have floated the prospect of imposing a toll on ships passing through the critical trading route. Foreign Secretary Yvette Cooper has urged the US administration to resist slapping a tax on ships passing through the Strait of Hormuz.\u00a0<\/p>\n The UK economy is also predicted to suffer the worst impacts of the war later in the year after the energy price shock from higher oil and gas prices passes through into household bills from July.<\/p>\n![](\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2026\/01\/book.jpg\"\/)
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