World Bank President Ajay Banga said on Tuesday (October 24) that the Israel-Hamas war could prove to be a serious blow to the global economy and its development. Addressing an investor conference in Saudi Arabia, he said that the world is standing at a very dangerous juncture.
He said that a lot is going on in the world and recently geopolitics has also been affected by Israel and Gaza. At the end of the day, when you put it all together, I think it will have a serious impact on economic growth.
Ajay Banga further said that geopolitical tension is the biggest threat to the world economy. He said that such things increase economic risks rapidly and should not be ignored.
After the Israel-Hamas war, there is an atmosphere of uncertainty in the global economy. Due to this, there has been a decline in the stock markets around the world. Before the Israel-Hamas war, on October 6, the Indian Stock Market (Sensex) was at 65,996 points, which has now fallen by 1,425 (2.15%) points to 64,571. During this period, the American market has fallen from 13,431 points to 13,018. This too has seen a decline of more than 2%.
On October 7, Hamas terrorists entered Israel from Gaza Strip and killed 1400 people including women and children. They have taken 222 people hostage. After this, Israel launched a retaliatory air strike on the Gaza Strip, in which more than 5000 Palestinians were killed.
Ajay Banga of Indian origin has been on the post of President of the World Bank since June 2 this year. His tenure is of 5 years. In February, US President Joe Biden nominated him for this post. Banga is the first Indian-American to chair the World Bank.
Ajay Banga was born on 10 November 1959 in Pune. His father Harbhajan Singh Banga was a Lieutenant General in the Indian Army. He did his schooling from Jalandhar and Shimla, graduation from DU and MBA from IIM Ahmedabad. In 2016, the Government of India also honored him with Padmashree.