Published on: 2026-09-25
Source: United Nations – United Nations –
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September 25, 2026 Peace and Security
According to the UN data from 130 countries, since the beginning of the new phase of the conflict in the Middle East at the end of February, the average retail prices of gasoline have increased by 22 percent, and diesel fuel by 32 percent. The economic consequences of the crisis, which extend far beyond the region, were discussed today at the UN during an event held on the sidelines of the High-Level Week of the 81st session of the General Assembly with the participation of the Deputy Secretary-General Amina Mohammed and the Administrator of the United Nations Development Programme (UNDP), Alexander De Croo.
According to a new analysis by the United Nations Sustainable Development Group, the consequences of the conflict are aggravated by restrictions operating simultaneously in four key trade corridors: the Strait of Hormuz, the Red Sea and Bab-el-Mandeb Strait, the Black Sea, and the Panama Canal. Another factor contributing to the crisis is the powerful El Niño phenomenon.
According to the UNDP Administrator, in March, when the program conducted the first assessment of the socio-economic consequences of the crisis in the Middle East, they were still regional in nature. By June, the crisis affected fertilizer and energy markets, and its repercussions had reached Sub-Saharan Africa and Southeast Asia. The September analysis showed that more than 100 economies had already been affected.
“Development cannot wait”
In some African countries, fuel and fertilizers have increased in price by 300 percent, noted Helena Fraser from the United Nations Office for the Coordination of Humanitarian Affairs. According to De Croo, decentralized and renewable energy is more beneficial today than ever before – and not only from an economic perspective.
“Countries are tired of being punching bags in great geopolitics and paying the price for what happens on the other side of the world,” said the head of UNDP.
The Minister of Foreign Affairs of South Sudan, Cecilia Adut Manyok Adeng, stated that disruptions in oil exports have sharply reduced budget revenues, and the conflict in neighboring Sudan has brought refugees and South Sudanese returning home to the country. For a landlocked state, rising fuel and transportation costs quickly impact food prices. This is compounded by regular floods and droughts. Renewable energy sources in such a situation become a lifeline. UNDP and the Global Fund have already converted 22 medical facilities to solar power, reducing their reliance on expensive diesel fuel.
“Development cannot wait for the end of the crisis,” the minister stated.
Pandemic, full-scale invasion by the Russian Federation, and conflict in the Middle East
As noted in the analytical note by the UN Group, over the past six years developing countries have already experienced several external shocks. In 2020, it was the COVID-19 pandemic; in 2022 – a sharp rise in prices for energy, food, and fertilizers as a result of the war in Ukraine; and since February this year – the consequences of the conflict in the Middle East.
Mohammed emphasized that both Ukraine and the Middle East have demonstrated how interconnected the world is: events in one region impact food and energy security, remittances, and supply chains worldwide. De Croo also noted that the consequences of the current crisis overlap with the events in Gaza and Ukraine, and together their impact is stronger than merely adding up the individual crises.
Debt crisis and lack of funding
According to an analysis by the UN Sustainable Development Group, currently 55 developing countries are allocating more than 10 percent of government revenues to servicing external debt. Ten years ago, there were 32 such countries. The ratio of interest payments to revenues in developing countries has reached its highest level in more than 20 years. Nearly half of the poorest countries are already in a state of debt crisis or at high risk of its occurrence.
The UN Development Programme at the beginning of the conflict in the Middle East warned that more than 30 million people could be pushed below the poverty line. This did not fully happen because governments took measures. However, as De Croo noted, this came at the cost of huge funds that were intended for other needs – from education to renewable energy.
Amina Mohammed reminded that there is already a shortfall of 4 trillion dollars annually to achieve the Sustainable Development Goals.
“We are told that government resources are limited and should not be relied upon. But I don’t quite understand then what the 2.7 trillion dollars that we spend on war represent,” said the Deputy Secretary-General of the UN.
Mohammed drew a parallel with the period after World War II, when the international community did not hesitate to provide war-torn countries with long-term concessional financing. Today, developing countries are suffering from crises that they did not cause and need the same approach, she believes.
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