Finance leaders from the Group of Seven (G7) have indicated they are prepared to step in if needed, to shield the global economy from the fallout of the war involving Iran, as concerns grow over rising energy prices and supply disruptions.
They "reaffirmed the pressing need to move toward a lasting peace," according to a statement from France, which holds the G7 presidency this year.
The war was the biggest of three key topics discussed by the finance ministers and central bank governors of the world's richest democracies on the sidelines of the spring meetings of the International Monetary Fund (IMF) and World Bank in Washington.
"The conclusion was unanimous: it is urgent to limit the cost to the global economy of an enduring conflict. G7 members reaffirmed the pressing need to move toward a lasting peace," the statement said.
French Finance Minister Roland Lescure said there was a “wide range of outcomes” for the global economy, depending largely on how quickly the conflict comes to an end.
“We need to make sure that we understand where the balance of risks is tilting in the next few weeks,” Lescure said, reflecting a cautious but alert stance among the world’s leading economies.
The group said it has already taken action once. Backed by G7 governments, the International Energy Agency (IEA) said it released a record volume of oil from strategic reserves last month to ease pressure after supply routes through the Strait of Hormuz were disrupted.
Lescure made clear that similar moves remain on the table. “We are meeting again in a month’s time in Paris and we want to make sure that we monitor the situation, we evaluate the impact and that if we need to act, as we did with releasing inventories a few weeks back, we will,” he said.
He also said it was important to ensure free transit for ships through the Strait of Hormuz, adding that G7 ministers agreed that vessels should not have to "pay one dollar" to Iran to pass through the international waterway.
Central banks are also on alert. François Villeroy de Galhau said policymakers are determined to prevent higher energy and commodity prices from feeding into broader, longer-lasting inflation.
“We will act, without hesitation, if and when necessary, but we are not in a rush mode. We need to have more data,” he said.
Meanwhile, Leaders reiterated their commitment to supporting Ukraine, with Lescure warning that the country must not be overlooked amid the focus on Iran.
“Ukraine should never be a collateral damage of the current war in Iran,” he said. “Russia mustn’t be getting benefits from what’s happening in Iran.”
The group also vowed to continue to aid Ukraine, including helping it prepare for next winter after a difficult winter this year with constant Russian attacks on Ukrainian energy infrastructure.
The French statement said the discussion focused on Ukraine's economic reforms under its $8 billion IMF programme, the need to keep up economic pressure on Russia, meeting Ukraine's energy needs, and actively contributing to the repair of the Chernobyl nuclear power plant's confinement arch.
Meanwhile, efforts are also under way to reduce reliance on China for rare earths and other critical minerals.
G7 members are working on plans to build alternative supply chains, with proposals expected to be presented at a leaders’ summit in June in the French Alpine town of Evian-les-Bains.
France holds this year's presidency of the G7, which also includes the U.S., Canada, Japan, Britain, Germany and Italy.
Afghanistan’s consul general in Mashhad and the governor of Iran’s Khorasan Razavi province have discussed expanding trade, improving border trans...
The International Labour Organization (ILO) has withdrawn the appointment of a senior U.S. official to a top leadership role because of delays in U.S....
Uzbekistan recorded further declines in the production of key energy resources during the first four months of 2026, even as output of fuel products, ...
Central Asia is facing growing water stress after five consecutive years of drought, with rising temperatures, depleted soil moisture and shrinking gr...
Türkiye and Azerbaijan are advancing plans for a major new energy corridor that would transmit green electricity from the Caspian region to Europe, T...
The International Labour Organization (ILO) has withdrawn the appointment of a senior U.S. official to a top leadership role because of delays in U.S. payments, according to a statement published on Monday (1 June).
Turkish authorities have launched an investigation into a passenger bus crash in southwestern Türkiye that killed eight people and injured 33 others over the weekend.
Okinawa lost transport links and suffered widespread power outages on Monday (1 June) as Severe Tropical Storm Jangmi brought destructive winds and heavy rain to Japan's south-western islands.
Thai investigators seized more than 100 protected wildlife remains after raiding a souvenir and traditional medicine shop accused of selling wildlife carcasses online.
U.S. rapper Kanye West, now known as Ye, performed to a crowd of 118,000 people in Istanbul on Saturday night, marking his first concert in Europe in more than a decade, despite being barred from performing in several countries over past antisemitic remarks.
Okinawa lost transport links and suffered widespread power outages on Monday (1 June) as Severe Tropical Storm Jangmi brought destructive winds and heavy rain to Japan's south-western islands.
Iranian-made Yassin missiles were spotted mounted on Armenian Air Force fighter aircraft during Armenia's latest military parade on Thursday (28 May), drawing attention from defence observers and regional analysts.
Donald Trump said he is “in no hurry” to reach a deal with Iran, insisting the U.S. is slowly getting what it wants. He warned military action remains an option if talks fail. Meanwhile, U.S. forces said they fired a missile at a vessel trying to breach Washington’s blockade of Iran.
The World Health Organisation’s designation of the Bundibugyo Ebola virus outbreak as a Public Health Emergency of International Concern (PHEIC) is a stark reminder that Ebola remains a persistent global health threat rather than a disease of the past.
The International Labour Organization (ILO) has withdrawn the appointment of a senior U.S. official to a top leadership role because of delays in U.S. payments, according to a statement published on Monday (1 June).
China's Coast Guard said on Monday it had carried out what it described as "law enforcement" patrols in waters east of Taiwan, saying the move was a response to plans by Japan and the Philippines to begin maritime boundary delimitation talks in an area Beijing claims falls under its jurisdiction.
As the World Cup kick-off approaches, teams from across the globe arrive with contrasting narratives, some seeking redemption, others chasing history, and a few hoping simply to belong.
Okinawa lost transport links and suffered widespread power outages on Monday (1 June) as Severe Tropical Storm Jangmi brought destructive winds and heavy rain to Japan's south-western islands.
Japan has released crested ibises into the wild on Honshu for the first time, marking a major conservation milestone in the Noto region of Ishikawa Prefecture.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment