African leaders warn Middle East conflict is fuelling Africa's economic crisis
Synopsis
Key Takeaways
African leaders on Tuesday, 29 July 2025 raised urgent alarm over the resumption of hostilities in the Middle East, warning that the conflict is inflicting severe economic pain across the African continent through energy shocks, supply chain disruptions, and soaring prices for food and fertiliser. The concerns were voiced at the 49th Ordinary Session of the Executive Council of the African Union (AU), held in Addis Ababa, Ethiopia.
Africa Bearing the Brunt, Says AU Commission Chief
Mahmoud Ali Youssouf, chairperson of the AU Commission, said Africa is disproportionately absorbing the fallout from the Middle East crisis, with multiple countries on the continent grappling with a high cost of living driven by surging energy prices.
'The resumption of the conflict between Iran and the United States is causing runaway inflation. The supply chain is disrupted due to the closure of the Strait of Hormuz. The Bab el-Mandeb Strait is also threatened. Energy, grain and fertiliser prices are soaring,' Youssouf said at the session. He added that assessments by the United Nations Economic Commission for Africa (UNECA) and the United Nations Development Programme (UNDP) indicate the fallout is likely to persist for months.
UNECA Flags Cascading Global Risks
Claver Gatete, executive secretary of UNECA, described the global environment as increasingly uncertain, pointing to simultaneous spikes in energy, food, and fertiliser prices as a direct consequence of the ongoing Middle East conflict.
'Trade tensions, geopolitical fragmentation, conflicts including the conflict in the Middle East, climate shocks, declining development finance and high debt-servicing costs continue to impact investment and development prospects in Africa,' Gatete said. He stressed that Africa can no longer rely indefinitely on external financing and must mobilise more development capital from domestic sources.
Ethiopia Calls for Africa to Shape the New Global Order
Gedion Timothewos, Foreign Minister of Ethiopia, said the foundations of the global order are undergoing profound transformation, with Africa bearing the brunt of compounding pressures — geopolitical tensions, technological disruption, climate stress, and intensifying competition over strategic resources.
'We need to seize the moment to actively shape the contours of the new reality. We must become a strategic actor capable of providing African solutions to global challenges,' Timothewos said, adding that despite these headwinds, Africa is positioned to be the engine of global growth in the second half of the 21st century.
Session Agenda and AU's 2026 Theme
The two-day session, which brought together African foreign ministers, is held under the AU's 2026 theme: 'Assuring Sustainable Water Availability and Safe Sanitation Systems to Achieve the Goals of Agenda 2063.' Delegates are expected to produce new strategies addressing Africa's most pressing challenges, including universal access to safe water, hygiene, and sanitation across the continent.
This comes amid a broader pattern of Africa absorbing the secondary shocks of conflicts and geopolitical crises centred elsewhere — a vulnerability that AU leaders say demands a structural shift toward self-reliance and continental economic integration.