OECD warns prolonged Hormuz shockprolonged Hormuz shock could slam global growth
The OECD said on Wednesday that a prolonged disruption of energy supplies through the Strait of Hormuz from the Iran war could push some countries into recession and drive up inflation and unemployment.
The warning came as the group cut its 2026 global growth forecasts and said severe market strain could force central banks to rethink bond holdings and other support measures.
The report matters because Hormuz is a critical oil transit route and a long disruption could spread beyond the Middle East into trade, prices, and industrial activity worldwide.
- The Strait of Hormuz is only about 33 kilometers wide at its narrowest point.
- The OECD was founded in 1961 after the Marshall Plan era to promote economic cooperation.
- Central bank asset purchases became especially familiar during the 2008 financial crisis.
US-Iran Ceasefire War
The United States launched military strikes against Iran on June 26, 2026, in response to a drone attack on a commercial cargo ship in the Strait of Hormuz, calling it a "foolish violation" of the 60-day ceasefire agreement signed just days earlier[2][4][14].
26 June, 09:35 PM
US launches strikes against Iran following commercial ship attack26 June, 04:47 PM
Trump calls Iran drone attack on cargo ship a ceasefire violation
