Finance
Iran War Pushing More Than 30 Million Back Into Poverty, UN Development Chief Says
Published by Global Banking & Finance Review®
Posted on April 23, 2026
2 min readLast updated: April 23, 2026
Add as preferred source on GoogleQuick Summary
U.N. Development Programme chief Alexander De Croo warns that the Iran war’s disruption to fuel and fertilizer supply—particularly via the Strait of Hormuz—is pushing over 30 million people back into poverty, slashing 0.5–0.8% from global GDP and threatening food security just as farmers begin plant
Iran War Will Push Over 30 Million People Back Into Poverty, Warns UNDP Chief
By Panu Wongcha-um
UNDP Chief Highlights Dire Consequences of Iran War on Global Poverty
BANGKOK, April 23 (Reuters) - More than 30 million people will be pushed back into poverty by the impacts of the Iran war including disruptions to fuel and fertiliser supplies just as farmers are planting crops, U.N. development chief Alexander De Croo said on Thursday.
Fertilizer and Agricultural Disruptions
Fertiliser shortages - worsened by the blocking of cargo vessels through the Strait of Hormuz - have already lowered agricultural productivity, the Administrator of the United Nations Development Programme (UNDP) told Reuters.
Impact on Crop Yields
That would likely hit crop yields later this year, the former Belgian prime minister added.
Food Insecurity and Other Fallout
"Food insecurity will be at its peak level in a few months - and there is not much that you can do about it," he said, also listing other fallouts of the crisis including energy shortages and falling remittances.
"Even if the war would stop tomorrow, those effects, you already have them, and they will be pushing back more than 30 million people into poverty," he said.
Global Supply Chain Vulnerabilities
Much of the world's fertilizer is produced in the Middle East, and one-third of global supplies passes through the Strait of Hormuz, where Iran and the United States are jostling for control.
Warnings from International Organizations
Earlier this month, the World Bank, the International Monetary Fund and the U.N. World Food Programme warned that the war will drive up food prices, further burdening the world's most vulnerable populations.
Economic and Humanitarian Impacts
De Croo said the knock-on effects of the crisis have already wiped out an estimated 0.5% to 0.8% of global GDP. "Things that take decades to build up, it takes eight weeks of war to destroy them," he said.
Strain on Humanitarian Efforts
The crisis was also straining humanitarian efforts as funding shrinks and needs rise in places already facing severe emergencies, including Sudan, Gaza and Ukraine.
"We will have to say to certain people, really sorry, but we can't help you," he said.
"People who would be surviving on help will not have this and will be pushed into even greater vulnerability."
(Reporting by Panu Wongcha-um; Editing by Andrew Heavens)
Key Takeaways
- •More than 30 million people are at risk of being pushed back into poverty due to disruptions in fuel, fertilizer, and remittances driven by the Iran war—effects that persist even if the conflict ends immediately(investing.com).
- •The Strait of Hormuz—not just a conduit for oil but also a vital artery for fertilizer—has effectively been choked off, with about one-third of global seaborne fertilizer trade stranded, driving sharp price hikes and threatening crop yields(farmprogress.com).
- •Analysts estimate the conflict has already erased 0.5% to 0.8% of global GDP, and without intervention such as $6 billion in targeted emergency relief, humanity risks losing decades of developmental progress(investing.com).
References
Frequently Asked Questions about Iran war pushing more than 30 million back into poverty, UN development chief says
1How is the Iran war causing more people to fall into poverty?
The Iran war has disrupted fuel and fertilizer supplies, impacting crop yields and food security, which could push over 30 million people back into poverty.
2What specific shortages are affecting farmers due to the Iran war?
Fertilizer shortages, made worse by blocked cargo through the Strait of Hormuz, are lowering agricultural productivity and expected crop yields.
3Which global economic impacts has the UNDP chief cited from the crisis?
The crisis has already wiped out an estimated 0.5% to 0.8% of global GDP and is causing widespread food insecurity and energy shortages.
4How is the Iran war affecting humanitarian aid efforts?
Shrinking funding and increased needs due to the war have forced humanitarian agencies to make tough decisions, limiting assistance for many in need.
5What organizations warned about rising food prices due to the Iran war?
The World Bank, International Monetary Fund, and UN World Food Programme have warned that the Iran war will increase food prices globally.
