IMF Warns of Rising Energy Costs Amid Middle East Conflict

The International Monetary Fund (IMF) has raised alarms regarding the increasing energy costs and trade disruptions stemming from the ongoing conflict in the Middle East, particularly the war between the United States and Israel against Iran, which has now entered its fourth day. The IMF issued a statement on its website on Tuesday, indicating that it is closely monitoring the situation, which escalated on February 28, 2026, when the U.S. and Israel launched strikes on Iranian cities, leading to significant explosions and smoke in Tehran.

The IMF warned that this conflict adds uncertainty to the global economy and is expected to provide a comprehensive assessment in its April World Economic Outlook. Analysts have cautioned that the crisis could lead to a spike in global crude oil prices, directly affecting petroleum markets, including Nigeria.

The Petroleum Product Retail Outlet Owners Association of Nigeria has been advised to ensure a consistent supply of crude oil to mitigate the impact of external geopolitical shocks.