Countries neighbouring Israel risk being caught up in a tornado-like chain reaction of the Israeli-Hamas conflict. This creates the prospect of economic and political difficulties for Egypt, Lebanon, and Jordan.
Weeks before Hamas launched its attack on Israel, an International Monetary Fund assessment warned that the three countries could face economic constraints. It stated that Egypt, Lebanon, and Jordan could lose their sociopolitical stability.
According to some, the Israel-Hamas conflict might exacerbate economic constraints and potentially lead to government collapse. If efforts to achieve a cease-fire fail or the war continues to escalate, it has the potential to spread throughout the region and globally.
The United States has also been closely monitoring the developments in the Middle East. Last week, US Vice President Joe Biden came to Israel to offer his support for Israeli Prime Minister Benjamin Netanyahu. Antony Blinken has also visited the area numerous times since the fighting began on October 7.
The US Treasury Secretary, Janet Yellen, stated that the economic implications are being closely monitored. "So far we have not yet seen much that has global consequences, but if the war spreads, of course there could be more meaningful consequences."
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Economic Crisis
Hamas
Israel
Israel hamas war
Israel palestine conflict
Israel Palestine war
Palestine