Iran War

From energy price spikes to shipping restrictions and supply chain disruptions, the onset of war in the Middle East has resulted in almost-immediate rippling effects around the world. Low- and middle-income countries, already exposed to shocks, face energy emergencies, food insecurity, fertilizer shortages, health risks, declining remittances, and more.

CGD experts are analyzing developments and assessing options policymakers have to mitigate impacts on vulnerable countries.

More from the Series

Blog Post

Will the Iran War Be the Breaking Point for Vulnerable Countries?

March 20, 2026
Energy prices have spiked with the near-closure of the Strait of Hormuz and ongoing strikes on regional energy infrastructure. Even before this shock, many developing countries were increasingly vulnerable, pressured by high debt burdens, an unpredictable global trade environment, and unfavorable ex...
Blog Post

Oil at $100 a Barrel: Fiscal Strain and Risks of Social Unrest

March 17, 2026
Shielding households from the recent surge in oil prices could impose high fiscal costs on governments—about 0.9 percent of GDP in emerging and developing economies and 0.4 percent of GDP in advanced economies. Some highly vulnerable countries could face costs up to 3 percent of GDP.