The IMF is reporting that Asia's economy started 2026 resilient after weathering 2025 trade tensions, but the US-Israel war on Iran has created an energy shock that threatens growth. The region is expected to expand 4.4% this year, though higher fuel costs from the conflict are driving inflation pressures. The timing matters: this forecast was made mid-April as the Middle East conflict entered its sixth week, so the projected growth figure already factors in the energy disruption.