IMF Managing Director: "Israel-Palestine War Hits Neighboring Economies Hard"

Kristalina Georgieva, IMF Managing Director Photo by Yonhap News

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Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), stated on the 25th (local time) that the war between Israel and the Palestinian armed group Hamas is having a negative impact on the economies of neighboring countries.

Georgieva made these remarks at the annual Future Investment Initiative (FII) forum held in Riyadh, Saudi Arabia, saying, "We can already see the effects in neighboring countries such as Egypt, Lebanon, and Jordan," according to AFP. She explained, "In countries highly dependent on tourism, uncertainty is a factor that blocks the influx of tourists," adding, "What we are seeing is more instability in an already unstable world."

She also added, "Investors will be reluctant to go, insurance costs will rise further," and "There is also a risk of a much larger influx of refugees."

AFP reported that senior Wall Street officials attending the forum had already warned the previous day that if the war spreads to other neighboring countries, it could deal a severe blow to the global economy.

The war, triggered by Hamas's surprise attack on Israel on the 7th, has resulted in at least 1,400 deaths in Israel, with more than 220 people taken hostage by Hamas.

On the Palestinian side, nearly 6,000 people have died so far in the Gaza Strip due to Israeli retaliatory airstrikes.

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