War-induced spikes in oil prices and the arrival of artificial intelligence are widening the economic gap between rich and poor countries, according to the International Monetary Fund’s October report on the world economy . Poorer countries that import most of their fossil fuels have suffered the worst consequences of the United States’ and Israel’s war on Iran, while wealthier countries have better withstood war-related shocks thanks to AI-related economic growth and diversified energy systems, the report said.
Renewable and clean energy could help poorer countries strengthen their economies against future economic turbulence, but a well-planned energy transition requires resources these countries don’t have. Instead, families and companies in developing countries are pursuing their own ad hoc energy transitions with cheap electric motorbikes and rooftop solar panels.…