The head of the International Monetary Fund has warned that the Iran war will leave a permanent mark on the global economy, even if a durable peace deal is eventually reached in the Middle East.
“But now, even our most hopeful scenario involves a growth downgrade,” the IMF chief said. “Even in a best case, there will be no neat and clean return to the status quo.”
In Australia, the Greens have repeated their call for a “complete, two-way arms freeze on Israel”, stepping up pressure on the federal government over the conflict. The party argues that stronger action is needed in response to the war in the region.
Penny Wong’s previous statements, the Greens said, whether describing the situation as “concerned” or “gravely concerned”, have had no effect.
They said cancelling more than a billion dollars in Israeli arms contracts would not only respond to what they described as the moral situation created by Israeli military attacks, but would also place material pressure on Israel to pull back from the war in Lebanon.
The Greens described the conflict as “disastrous, illegal, immoral” and said it was threatening global peace.
They also argued that Australia should not be buying weapons that have been tested by Israeli defence manufacturers in conflicts including Gaza and Lebanon, and should not be contributing any weapons parts.
“Right now it also would have the important additional benefit of making it clear to Israel that this comes at a direct and real cost to them,” the party said.
The calls came as the live news blog tracked a range of political and international developments, including the impact of the wider conflict on markets and economic forecasts. The IMF’s warning added to concerns that even a peace settlement would not fully reverse the effects of the war on growth and stability.
The live coverage also noted the separate development that Queensland MP Jimmy Sullivan has been found dead. Further details were not included in the source item.
Continue following live updates for the latest developments.
