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The effect of increasing tension in Iran and West Asia is now visible on the economy of the entire world. After the rapid rise in oil and gas prices, economic pressure has increased on many developing countries. The situation has become such that many countries now have to knock on the doors of international organizations to manage their economy.

27 countries asked for emergency help

According to an internal document to the World Bank, 27 countries have started the process of obtaining emergency funds. These countries have started activating such special systems, so that they can get financial assistance quickly in case of crisis. However, the information about which countries have asked for how much amount has not been made public.

Fuel and fertilizer crisis increased the difficulty

According to the report, due to instability in the oil market, not only petrol and diesel have become expensive, but the supply chain has also been affected. The supply of fertilizers has started getting disrupted in many countries, which is affecting farming and food production. Due to this, the risk of inflation and economic crisis has increased further.

Kenya and Iraq confirmed

Kenya and Iraq have officially admitted that they have asked for urgent financial help from the World Bank. Petrol and diesel prices are increasing rapidly in Kenya, while Iraq is facing a huge decline in oil earnings. Both the countries have described the situation as serious.

What is the World Bank’s Crisis System?

It has been told in the report that these 27 countries are included in the 101 countries which can benefit from the already prepared crisis fund system. Of these, 54 countries come under the Rapid Response Scheme. Under this scheme, countries can immediately use 10 percent of their already approved but unused funds.

How much help is the World Bank ready to provide?

World Bank President Ajay Banga had recently said that if needed, the bank can provide immediate financial assistance of 20 to 25 billion dollars. He also said that this assistance can increase to 60 billion dollars in the next six months and can even go up to 100 billion dollars in the future.

Countries can also ask for help from IMF

International Monetary Fund (IMF) chief Kristalina Georgieva has said that about 12 countries can also ask for financial help from the IMF. However, many countries are considering it better to take help from the World Bank instead of the IMF because the IMF usually imposes strict conditions like cutting expenses.

Big economic threat looming over the world

Experts say that if the Middle East crisis continues for a long time, its impact on global trade, food security and energy markets could be more profound. Due to rising inflation and economic instability, the condition of many countries may worsen in the coming months.