The World Bank could mobilise $80 billion to $100bn in funding over the next 15 months for countries hit hard by the Middle East war, eclipsing the $70bn it provided during the Covid pandemic, the bank’s president Ajay Banga has said, Reuters reports.

That would include $20bn to $25bn in coming months through a crisis response window that allows countries to withdraw up to 10pc of funds earlier than planned from previously approved programs, with another $30bn to $40bn that could come from repurposing existing programmes in about six months, he said.

Banga’s comments, on the sidelines of the spring meetings of the IMF and World Bank, reflect growing recognition of the huge impact the war is already having on global growth and inflation, with developing countries likely to be hit the hardest.

If the war lasted longer and greater needs emerged, the bank would have to turn to its balance sheet and headroom to find additional funding to reach the $80bn to $100bn, Banga told an event hosted by the Bretton Woods Committee. That would come on top of the bank’s normal lending.

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