The International Monetary Fund (IMF) said in a statement issued today that, despite the resilience shown by the Saudi economy during the regional conflict, the economic consequences of the war are expected to become more apparent after the conflict ends rather than during it.

The IMF added that a number of domestic administrative and policy-related factors, unrelated to the war itself, are also expected to weigh on economic performance.

Following an analysis of Saudi economic data and indicators, the Fund projected that economic growth in 2026 will fall to below 2%, compared with 4.5% in 2025.

The statement further noted that growth prospects would deteriorate further should the Strait of Hormuz remain closed.