World Bank discusses energy crisis support with 30 to 40 countries

The World Bank is discussing support with 30 to 40 countries facing higher energy costs linked to the war in the Middle East.

Bank President Ajay Banga said the global economy has shown some resilience, but developing countries may face greater pressure in the coming months.

Higher prices for diesel and fertilizer are adding to the strain, alongside rising borrowing costs and climate risks linked to El Niño.

The bank has an emergency funding window created when the war began in late February.

It is prepared to provide $50 billion to $60 billion through that funding, and could raise the amount to $100 billion if conditions deteriorate.

Developing countries also face about $400 billion in payments to foreign creditors in 2026, with interest making up a third of the total.

The bank and the International Monetary Fund are working on debt measures, including swaps that could free up money for education, health care, water and nature protection.

Banga said the bank is also preparing initiatives to improve access to private financing for small businesses.