WASHINGTON, April 14 (Reuters) - Stagflation in Europe as a result of the U.S.-Israeli war on Iran is the worst case scenario and we are not yet there, the chairman of euro zone finance ministers
Eurogroup Chair: Stagflation in Europe Is Worst Scenario But Not There Yet
Potential Economic Impact of U.S.-Israeli War on Iran
Current Assessment by Eurogroup Chair
WASHINGTON, April 14 (Reuters) - Stagflation in Europe as a result of the U.S.-Israeli war on Iran is the worst case scenario and we are not yet there, the chairman of euro zone finance ministers Kyriakos Pierrakakis said on Tuesday.
European Commission Warnings
Risks from Closure of the Strait of Hormuz
The European Commission has warned that the surge in oil, gas and fertiliser prices as a result of the closure of the Strait of Hormuz posed a risk of stagflation in Europe.
Statements from the Semafor Conference
Energy Price Surge and Economic Growth
Duration of Strait Closure as a Key Factor
Speaking at the Semafor conference in Washington Pierrakakis said the energy price surge would reduce economic growth and increase inflation but its exact impact would depend on how long the Strtit of Hormuz would remain closed for trade.
"We're not yet there," he said on the stagflation scenario.
(Reporting by Jan Strupczewski)
