UN Warns of Potential Economic Devastation from US-Israeli Conflict with Iran

United Nations Warns of Potential Food Shortages Due to Strait of Hormuz Closure

The United Nations Development Programme (UNDP) has issued a warning that the ongoing blockade of cargo vessels through the Strait of Hormuz could lead to significant disruptions in fuel and fertilizer supplies. This, in turn, may impact agricultural productivity and crop yields later this year.

According to Alexander De Croo, administrator of the UNDP, the effects of the conflict would be felt even if it were to stop immediately. He stated that over 30 million people would be pushed back into poverty due to the war’s consequences. The United Nations Food and Agriculture Organization (FAO) has also warned of a potential global food “catastrophe” if the crisis in the strait is prolonged.

The Strait of Hormuz, which connects the Persian Gulf to the Gulf of Oman, is a critical shipping route for much of the world’s fertilizers. One-third of global supplies pass through this region, with many countries relying on it for their agricultural needs. The UNDP has identified several countries, including India, Bangladesh, Sri Lanka, and Egypt, as being particularly vulnerable to disruptions in fuel and fertilizer supplies.

The conflict has already had a significant impact on the global economy, with estimates suggesting that 0.5% to 0.8% of global gross domestic product (GDP) has been lost. De Croo noted that humanitarian efforts are also being strained due to the crisis, with funding cuts affecting the ability to deliver life-saving aid to those in need.

The UNDP’s warning highlights the potential consequences of the ongoing conflict in the Middle East on global food security and economic stability.

Source: Al Jazeera