More than 40 million people around the world could slip into extreme poverty, with commodity prices expected to rise by up to 23% by the end of 2026, as geopolitical tensions, supply chain disruptions and extreme weather conditions escalate, the World Bank warned.
And according to the World Bank’s October Commodity Markets Outlook, conflicts in the Middle East and the Russia-Ukraine war could exacerbate the price crisis, especially in energy and food markets.
And the report pointed to an increase in energy prices by 32%, warning that the continuation of the Middle East crisis may lead to a decline in global oil supplies by 5.2%, while food prices, including wheat and rice, may rise by more than 10% as a result of the disruption of supplies across the Black Sea.
Industrial metals prices are expected to rise by up to 25%, driven by growing demand from renewable energy projects, electric cars and data centers, while precious metals prices could jump by 40% as investors head for safe havens.
And the World Bank warned that the climate phenomena associated with the phenomenon of "El Niño" may increase pressure on global markets, pointing to the provision of financing assistance worth nearly $ 8.75 billion to 25 countries to face the repercussions of the crisis.
And despite these risks, the bank predicted commodity prices would fall by as much as 7% in 2027, but warned that continued geopolitical turmoil could complicate anti-inflation efforts and prompt central banks to rethink their monetary policies.
These warnings highlight growing concerns that disruptions to energy and food markets could turn into a global livelihood crisis, with poor countries and the most vulnerable hardest hit.
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