Washington, September 11, 2026 (Yes Punjab News)
The global energy shock triggered by the ongoing conflict in the Middle East is not over, with oil and gas prices remaining elevated and shipping through the Strait of Hormuz severely disrupted, the International Monetary Fund (IMF) has warned.
IMF Communications Director Julie Kozack said the global economy had weathered the disruption better than initially expected, with countries drawing on oil and gas reserves, securing alternative energy supplies and introducing measures to curb demand.
However, she cautioned that significant risks remained.
“The energy shock is not over,” Kozack told reporters. “Oil and gas prices remain elevated. Prices of refined products such as diesel and jet fuel are also very high.”
Kozack said shipping traffic through the Strait of Hormuz had fallen to about one-tenth of its pre-war level. The strategically important waterway is a major transit route for global oil and gas supplies.
Strategic reserves have helped some countries absorb the immediate impact of the disruption, but those stocks will eventually have to be replenished, potentially creating additional demand for energy.
The IMF also flagged rising energy demand from the rapid expansion of artificial intelligence infrastructure in some countries. With winter approaching in the Northern Hemisphere, seasonal demand for energy is expected to increase further.
The Fund said the global economy was facing competing forces. Higher energy and commodity prices, including fertiliser and food, were creating a negative supply shock, while the AI-driven technology cycle was generating a positive demand shock.
Despite six months of war in the Middle East, the IMF expects global economic growth to remain around 3 per cent. Kozack, however, said uncertainty remained high and the impact of the disruption would vary significantly across countries.
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