The hostilities between Israel and Hamas have the potential to cause significant economic damage worldwide, the World Bank President, Ajay Banga, has said.
“The impact on economic development is even more serious. I think we’re at a very dangerous juncture,” Banga said while speaking at an investor conference in Saudi Arabia on Tuesday.
Banga spoke during the annual Future Investment Initiative known as “Davos in the Desert”.
The three-day event has attracted over 6,000 delegates, including global banking leaders and the Presidents of South Korea, Kenya, and Rwanda.
The violence in Israel and Gaza contradicts the vision of a stable and prosperous Middle East championed by Saudi Arabia.
The kingdom had recently rebuilt ties with Iran and was on the verge of recognizing Israel before the outbreak of fighting.
In response to the violence, Saudi Arabia has actively condemned the targeting of civilians in Gaza and reaffirmed its support for the Palestinian cause.
While Saudi Arabia remains committed to its Vision 2030 reform agenda, designed to transition the country away from dependence on fossil fuels, concerns about regional conflict persist.
