WASHINGTON, April 16 (Reuters) - International Monetary
Fund Chief Economist said on Tuesday that a wider conflict
between Israel and Iran would likely lead to higher energy
prices, which would in turn prompt central banks to tighten
monetary policy to control inflation, hurting growth.
Gourinchas told a news conference that an "adverse scenario"
in the IMF's World Economic Outlook shows that a 15% increase in
global oil prices due to a wider Middle East conflict, along
with higher shipping costs to avoid Red Sea attacks, would
likely increase global inflation by 0.7 percentage point.