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Finance Minister Mohammed Al-Jadaan stated that investments by Saudi Arabia and other nations had helped limit the impact of the global energy shock on the world economy. The minister, who chairs the International Monetary and Financial Committee, made the remarks at a joint press conference with IMF Managing Director Kristalina Georgieva in Bangkok on Friday. Al-Jadaan noted that the shock’s effects would have been far more severe without these investments, according to reports from the event at the IMF and World Bank annual meetings.
Most Gulf countries implemented structural reforms and established financial buffers that enabled them to manage the shock effectively, Al-Jadaan said. He added that certain Middle East countries entered the period of regional conflict with solid economic preparedness. The minister highlighted that the global economy has continued to grow while displaying notable resilience despite ongoing challenges, an IMFC assessment found.
The energy shock arose from the ongoing Middle East conflict that drove sharp increases in energy and fertilizer prices, feeding inflationary pressures and risks to growth worldwide, according to a World Bank document summarizing Al-Jadaan’s April 2026 statement to the Development Committee. Saudi Arabia maintained stable domestic activity and supported regional trade by facilitating alternative air, land and maritime routes for GCC neighbors, that assessment indicated. Long-term investments in energy infrastructure such as the East-West pipeline have enhanced the ability to redirect supplies and absorb disruptions, Al-Jadaan had stated.
An IMFC statement pointed to rising financial risks from elevated public debt levels and increases in sovereign bond yields. Advances in artificial intelligence have contributed to economic growth though with varying effects across different economies, the committee reported. Central banks continue to pursue price stability, according to the IMFC conclusions.
Al-Jadaan had addressed the preceding G20 Finance Ministers meeting in Bangkok, stressing that reliable energy supplies at reasonable prices and uninterrupted flows of essential goods help contain price pressures and ease burdens on national budgets. He explained that managing prolonged shocks requires not only adequate buffers but also effective resource management over time while retaining capacity for future responses. The minister emphasized diversification, stronger energy and food security, and robust supply chains as priorities amid more frequent trade disruptions.
Saudi Arabia’s approach has included substantial Red Sea port capacity, alternative export routes and storage buffers that reinforce supply continuity under stress, Al-Jadaan said in related remarks. These steps have positioned the Kingdom to preserve confidence and act as a stabilizing element for global energy markets during the current uncertainties. The IMFC called for enhanced international cooperation to address the cascading economic effects of regional conflicts.
