2026

The IMF is urging governments to let fuel prices rise, warning that broad subsidies and price caps worsen global energy shocks. Allowing price signals to function encourages demand reduction, which is crucial for market stabilization. Targeted cash transfers are recommended to cushion consumers without distorting global markets.

China’s Foreign Minister Wang Yi has urged Iran to guarantee safe passage through the Strait of Hormuz. This critical waterway is vital for global oil trade. China, a major importer of Iranian oil, is concerned about energy disruptions. The call comes as Pakistan attempts to mediate new peace talks between the US and Iran.

The United States has ended sanctions waivers that allowed countries, including India, to buy Russian and Iranian oil without penalties, a move that could tighten global supplies and pressure Indian refiners. US Treasury Secretary Scott Bessent confirmed the decision, saying the temporary licenses for Russian and Iranian crude would not be renewed.

India is drawing on its Covid-era playbook to cushion the economic blow from the Iran war, with officials warning the disruption to energy supplies could rival the pandemic, threatening growth, widening the fiscal deficit, and pushing the rupee to record lows.

The US Navy’s blockade of Iran is showing impact, with sanctioned vessels turning back or halting after crossing the Strait of Hormuz. Officials say maritime trade has been effectively stopped, raising pressure on Iran’s economy, even as risks persist with spoofed ship data and volatile regional shipping conditions.

IMF chief Kristalina Georgieva warned Wednesday of difficult times ahead for the global economy if war in the Middle East is unresolved and oil prices stay high, adding that inflation risks could seep into food prices. “We are concerned about risks for inflation moving into food prices should the delivery of fertilizers at a reasonable…

The United States warned it will impose secondary sanctions on buyers of Iranian oil as it enforces a maritime blockade, saying China may halt purchases. Treasury Secretary Scott Bessent said banks handling Iranian funds risk penalties, while Washington intensifies pressure on Tehran’s oil exports and global energy networks.

The United States is intensifying sanctions on Iran’s oil industry, targeting over two dozen individuals, companies, and ships linked to petroleum magnate Mohammad Hossein Shamkhani. This action aims to curb Iran’s revenue generation as it continues to blockade the Strait of Hormuz amid the ongoing Middle East war.

Iran may allow ships to pass safely through the Oman side of the Strait of Hormuz if a deal with the US prevents further conflict, a source said. The war has disrupted 20% of global oil flows, leaving hundreds of vessels and 20,000 seafarers stranded since February 28.