World Bank Warns Oil Demand Destruction Is Spreading Globally Amid Strait of Hormuz Disruptions

The World Bank warned that disruptions in the Strait of Hormuz and escalating conflict in the Middle East are triggering a global oil supply shock, suppressing energy demand worldwide. Global oil demand declined by 0.8 million barrels per day in March and is forecast to fall by another 1.5 million barrels per day in the second quarter of 2026. Higher energy prices are weakening global growth prospects and increasing inflationary pressures.