The UNDP chief has warned that rising energy prices, driven by the Iran war, El Nino, and higher interest rates, could push millions into poverty. The warning comes as vulnerable countries face repeated crises, worsening global economic instability.
The UNDP report highlights that energy price increases are intensifying financial pressures on low-income populations. These pressures are compounded by the ongoing conflict in Iran, which has disrupted global energy markets. Higher interest rates have further strained economies, making it harder for countries to manage debt and invest in development.
This situation follows a series of economic shocks, including the impact of the Iran war on oil prices and the effects of El Nino on agricultural production. The UNDP emphasizes that these factors are creating a cycle of instability, with developing nations bearing the brunt. The organization calls for urgent action to support vulnerable economies and prevent a deeper global recession.
