# Middle East conflict impact on South Asian economies > Live situation record from CLSTR: https://clstr.news/situations/middle-east-conflict-impact-on-south-asian-economies > Updated: 2026-09-13T16:30:54.000Z. Sources: 4. Developments: 2. The economic stability of Bangladesh and Pakistan has been threatened by geopolitical instability in the Middle East, which has triggered energy shortages and rising commodity prices. Initially, the World Bank warned that Bangladesh faced a risk of 600,000 job losses and a significant setback in poverty reduction efforts. The bank noted that rising fuel prices, gas shortages, and reduced fertilizer supplies were expected to drive inflation and increase the number of people living in poverty. The country’s reliance on imported Liquefied Natural Gas (LNG) was cited as a key vulnerability. Following these warnings, stock markets in both Bangladesh and Pakistan experienced notable declines. In Bangladesh, the Dhaka Stock Exchange fell due to a nationwide gas and electricity crisis alongside Middle East tensions. In Pakistan, the KSE-100 Index plunged amid rising international oil prices and tensions between Iran and the United States, with Brent crude futures reaching $108.04 per barrel. ## Timeline ### 2026-09-13: Middle East tensions and energy concerns drive stock market declines in Bangladesh and Pakistan Stock markets in Bangladesh and Pakistan fell sharply due to rising Middle East tensions, energy supply concerns, and increasing international oil prices. 2 sources. https://clstr.news/cluster/middle-east-tensions-and-energy-concerns-drive-stock-market-declines-in-bangladesh-and-pakistan ### 2026-08-29: World Bank warns of 600,000 job losses in Bangladesh The World Bank warns that Middle East conflicts could cause 600,000 job losses in Bangladesh and significantly reduce the number of people escaping poverty due to rising fuel and food costs. 2 sources. https://clstr.news/cluster/world-bank-warns-of-600000-job-losses-in-bangladesh --- Cite as: Middle East conflict impact on South Asian economies. CLSTR, https://clstr.news/situations/middle-east-conflict-impact-on-south-asian-economies