The World Bank has warned that escalating tensions linked to Islamic Republic of Iran—including the prolonged blockade of the Strait of Hormuz—could trigger a severe economic downturn across key Gulf economies in 2026.

According to its latest assessment, the economies of Iraq, Kuwait, and Qatar are projected to contract by 8.6%, 6.4%, and 5.7% respectively, contributing to a 2.4% reduction in overall Middle East growth (excluding Iran) compared to earlier forecasts.
The report highlights that the ongoing disruption of maritime traffic through the Strait—blocked for over six weeks—has severely impacted oil export routes, particularly for countries heavily reliant on this corridor.

Regarding Iran, the World Bank cited -2.7% economic growth, 49.1% overall inflation, and extreme food inflation nearing 99% in the past fiscal year, while warning that recent strikes on key infrastructure have further weakened the economy. The institution added that it will delay its forward outlook on Iran until the full scope of the conflict becomes clearer.
Citing data from the United Nations High Commissioner for Refugees, the report estimates that over 3.2 million people have been displaced in Iran within the first two weeks of the conflict.

This is global extortion, and the leaders of countries, especially the United States of America, will never be victims of extortion. I have also ordered my Navy to search and seize any ship that has paid tolls to Iran in international waters.

No one who pays illegal tolls will have safe passage at sea. We will also destroy the mines that the Iranians have planted in the straits.

Any Iranian who fires at us or peaceful ships will be blown to pieces!

Iran knows better than anyone how to end this situation that has devastated their country. Their Navy no longer exists, their Air Force no longer exists, their air defense and radars are useless, all because of their nuclear ambitions.

The blockade will begin soon. Other countries will also participate in this blockade. Iran will not be allowed to profit from this illegal extortion.

They want money and, more importantly, nuclear weapons. Moreover, at the right time, we are fully "armed and ready," and our military forces will finish off what remains of Iran!