Key facts
- EBRD President Odile Renaud-Basso advised targeted and temporary government support for emerging economies.
- The advice comes amid increased debt burdens and tighter fiscal space in affected regions.
Governments in emerging economies affected by the Middle East conflict should provide temporary and targeted support, according to EBRD President Odile Renaud-Basso. She noted that many countries face higher debt burdens and tighter fiscal space due to ongoing crises, including the war in Ukraine and potential energy and food price spikes from the Iran conflict.
The European Bank for Reconstruction and Development (EBRD) operates in emerging economies in Europe, Central Asia, the Middle East, and Africa. These regions have been significantly impacted by a series of global crises, starting with the COVID-19 pandemic and escalating with Russia's invasion of Ukraine. The ongoing conflict in the Middle East adds further pressure, threatening to increase energy and food prices and exacerbate existing economic vulnerabilities. The EBRD's guidance reflects concerns about fiscal sustainability and the need for prudent economic management in these challenging times.
The European Bank for Reconstruction and Development (EBRD) operates in emerging economies in Europe, Central Asia, the Middle East, and Africa. These regions have been significantly impacted by a series of global crises, starting with the COVID-19 pandemic and escalating with Russia's invasion of Ukraine. The ongoing conflict in the Middle East adds further pressure, threatening to increase energy and food prices and exacerbate existing economic vulnerabilities. The EBRD's guidance reflects concerns about fiscal sustainability and the need for prudent economic management in these challenging times.