Troubles and Crises: International Economy Affected by Iran and Israel Events
The Middle East is experiencing a state of turmoil amidst a dramatic escalation in events, with increasing geopolitical tensions and disturbances in recent times, culminating in Iran’s attack on Israel in response to the raid targeting the Iranian consulate in Damascus, along with associated scenarios regarding the future of the conflict and any potential escalation in this context.
International Warning
In its latest reports, the World Trade Organization has warned of the risks of trade disruption due to geopolitical tensions, rising protectionism, and the worsening crisis in the Middle East, as attacks on merchant ships in the Red Sea have led to a shift in trade routes between Europe and Asia.
Major Shifts
In this regard, Dr. Karim Al-Omada, an expert in international economics, states that the strategic shift and the transition of the war with Iran from proxy warfare to direct targeting could have a direct impact on the economic situation in the Middle East and the international economy, which has recently begun to recover.
He adds that the shock to the global economy would be significant if this war continues or expands further, which is somewhat doubtful after the United States ruled out the widening of the war.
He continues: “All scenarios are open after the recent Iranian attack, and in any case, the consequences will impact the global economy in one way or another.”
