Washington: Four major international institutions have warned that disruptions to energy supplies and global trade can create wider risks for economic stability, food security and livelihoods, particularly in vulnerable countries.

The International Energy Agency, International Monetary Fund, World Bank Group and World Trade Organization have been coordinating their assessments of the economic effects of the Middle East conflict and its impact on energy markets, trade and countries around the world.

Energy Disruptions Affect Global Markets

The institutions have highlighted the importance of stable energy supplies and international transport routes.

Disruptions to shipping through the Strait of Hormuz have affected the movement of energy and other commodities. The Strait is a major global trade route, making developments there relevant to energy-importing economies far beyond the Middle East.

The resulting uncertainty has increased pressure on fuel markets and raised concerns about the broader economic consequences of prolonged supply disruptions.

Food Security Faces Additional Pressure

Energy disruptions can also affect food systems because agriculture depends heavily on fuel, transportation and fertilizers.

The four institutions have specifically highlighted fertilizer supplies as an area requiring close monitoring. Higher fertilizer costs can increase agricultural production expenses and eventually place additional pressure on food prices, particularly in countries that rely heavily on imported agricultural inputs.

Developing Economies More Exposed

The economic effects are not expected to be evenly distributed across countries.

Energy-importing and lower-income economies can face greater pressure when fuel and fertilizer prices rise. Higher import costs can put pressure on government finances, household purchasing power and businesses.

The IMF has also warned that prolonged disruptions could affect inflation, economic growth, employment and external financial conditions.

Global Trade Faces Disruptions

The crisis has also demonstrated the importance of major maritime routes to international commerce.

The WTO reported that global merchandise trade remained resilient during the first quarter of 2026, but warned that the effects of disruptions around the Strait of Hormuz would become more visible in subsequent trade data.

The organisation has been monitoring trade flows and alternative transportation routes as companies and shipping operators adjust to changing conditions.

International Cooperation

The four institutions have established mechanisms to exchange information and coordinate their assessments of energy, trade and economic developments.

Their cooperation includes monitoring fuel and fertilizer markets, analysing government responses and identifying countries that may require additional support.

Building Greater Resilience

International organisations are also encouraging countries to strengthen energy and food security while improving trade and transport infrastructure.

The July joint statement emphasised the importance of maintaining the freedom of navigation, supporting economic recovery and strengthening resilience against future shocks.

A Wider Global Challenge

The developments demonstrate how a disruption in one strategically important region can affect energy markets, agricultural costs, shipping networks and economic activity across different parts of the world.

For governments, businesses and international institutions, maintaining resilient supply chains and ensuring access to essential commodities have become increasingly important components of global economic planning.

The continued monitoring by the IEA, IMF, World Bank and WTO reflects the interconnected nature of today’s global economy, where energy security, trade, food supplies and economic stability are closely linked.