The United Nations has warned that the ongoing US-Israeli war on Iran could drive more than 30 million people into poverty worldwide as rising energy and fertiliser prices continue to hit vulnerable economies.

The warning was issued on Wednesday by the head of the UN Development Programme, Alexander De Croo, while speaking on the sidelines of a G7 development meeting in Paris.

Describing the humanitarian and economic fallout as severe, De Croo said the conflict had reversed years of development gains in many countries.

“It’s development in reverse,” he said.

According to him, a UNDP assessment conducted after six weeks of war estimated that even if the conflict ended immediately, about 32 million people across 160 countries would still be pushed into economic hardship.

The war has disrupted global energy markets, particularly following the closure of the Strait of Hormuz, a key maritime route through which roughly one-fifth of the world’s oil and liquefied natural gas normally passes.

The Gulf region is also a major supplier of petroleum products and feedstocks used in fertiliser production, making the conflict especially damaging for food systems and agriculture.

As a result of shortages and soaring prices, several countries in Africa and Asia have reportedly introduced emergency measures such as fuel rationing, reduced work weeks, and temporary tax cuts to cushion the burden on citizens.

The UNDP said Sub-Saharan African countries, along with nations such as Bangladesh and Cambodia, are likely to be among the hardest hit.

Small island developing states are also expected to suffer significant economic pressure.

De Croo warned that higher energy costs and fertiliser shortages could worsen poverty, threaten food security, and trigger political instability in the coming months.

He also noted that many countries could face reduced remittances, as workers based in Gulf nations may lose income or employment due to the crisis.

To limit the impact, the UNDP estimates that about $6 billion in subsidies would be needed to support the most vulnerable populations facing high food and energy prices.

He said discussions on possible support measures were already underway with institutions such as the International Monetary Fund and the World Bank.

The warning comes amid a sharp decline in global development aid, which reportedly fell by more than 23 per cent last year, largely due to funding cuts by major donor countries led by the United States.