IMF: World Faces Major Economic Crisis

The conflict in Iran, if it continues, could lead to a global economic recession, IMF forecasts.

Experts predict that if the conflict in the Persian Gulf spreads to other regions, oil prices could soar by 100% compared to January. If it remains localized and quickly resolves, energy prices will only rise by 19% by the end of the year.

In all scenarios, the impact on developing economies will be almost twice as severe as on developed economies. Countries in the Middle East and Central Asia will be hit hardest. Europe will also be hit. However, the U.S. will partially offset the price increase.