The World Bank Warns of Risks Associated with Conflict in the Middle East
Riyadh, October 24 – The World Bank has issued a stark warning about the risks arising from the ongoing conflict in the Middle East, emphasizing the potential for the intensification of the conflict to deliver a “serious blow” to global economic development.
Agay Banga, the President of the World Bank, made these remarks at the opening of the seventh edition of the Future Investment Initiative Conference in Riyadh today. He stated, “What is happening in Gaza will have a more dangerous impact on economic development,” further noting that the escalating conflict in the Middle East could push the global economy into a very perilous turning point.
Banga also underscored that geopolitical factors pose the most significant threat to the global economy at present and these risks tend to escalate rapidly, so their counterparts should not be ignored. He emphasized that the world is in a more precarious state than usual due to the conflict in the Middle East.
On a different note, the President of the World Bank clarified that investments in renewable energy have reached $3 billion, highlighting the need for private sector involvement to elevate the global economy and contribute to carbon emission reduction. He also mentioned the economic risks associated with the regulatory frameworks the World Bank is currently working on, which require local capital investments from both the private and public sectors.
It’s worth mentioning that the seventh edition of the Future Investment Initiative brings together approximately 6,000 participants from over 90 countries to discuss global challenges in climate, economics, and technology. This annual gathering kicked off today in the Saudi capital, Riyadh, and will continue for three days under the theme “The New Compass.”
