The OECD warned that the Middle East conflict poses a serious risk to worldwide economic stability, with potential fallout extending far beyond the region's borders. The organization's assessment suggests that ongoing tensions could reshape global growth trajectories and create spillover effects for international markets.

According to the OECD, the conflict has already begun stifling global growth, creating immediate headwinds for economic activity worldwide. This drag on expansion represents a significant shift from earlier projections and indicates that geopolitical uncertainty is translating into measurable economic costs.

The organization highlighted the risk of recessions emerging in multiple economies as a direct consequence of prolonged instability. Central banks may face renewed pressure to respond to economic slowdowns while managing already elevated inflation concerns across major markets.

Energy markets remain particularly vulnerable to supply disruptions, with potential for significantly stronger inflation if the conflict escalates further. The combination of slower growth and rising price pressures creates a challenging policy environment for governments and monetary authorities already navigating post-pandemic recovery efforts.