Global conflict has a significant impact on the world economy, shaping international trade trends, financial market stability, and economic growth. When large-scale conflicts occur, such as war, territorial disputes, or diplomatic tensions, investor confidence declines, resulting in sharp market fluctuations. This uncertainty stimulates greater geopolitics, influencing investment decisions around the world. One of the most striking examples is the conflict in the Middle East, where tensions between countries such as Iran and Saudi Arabia often lead to spikes in oil prices. Rising oil prices have a far-reaching impact on the global economy, affecting the cost of producing goods and triggering inflation in countries that depend on energy imports. Energy importing countries are vulnerable to slowing economic growth, increasing the risk of recession. Furthermore, the trade war between large countries such as the United States and China rocked global markets. Tariff policies and trade restrictions create uncertainty, impact international supply chains, and increase the cost of goods. Businesses have had to adapt to this environment, which often leads to increased prices for consumers, harming people’s purchasing power. Another impact of global conflict is increased military spending. Countries involved in tensions often increase their defense budgets, diverting funds from social and development sectors. This could delay investments in infrastructure, education, and health, which are critical for long-term growth. Countries that spend more resources on the military tend to experience economic stagnation. Conflict also triggers an influx of refugees, which poses an economic challenge for destination countries. Accepting refugees requires additional costs for the provision of basic services such as health and education. Although some countries can utilize refugee labor to stimulate economic growth, in the short term, this burden often creates social and economic tensions. Climate issues also cannot be ignored in the context of global conflict. Tensions triggered by environmental crises such as climate change can exacerbate political and social instability, impacting food production and resource availability. Disputes over water, land, and other natural resources push countries into economically damaging conflicts. Information technology is playing an increasingly important role in deepening the impact of global conflict on the economy. With faster communication, news and information about tensions can spread in an instant, causing rapid market reactions. Investments may be withdrawn from conflict areas or affected countries, disrupting economic stability. In the era of globalization, the impact of conflict is not limited to the countries involved. Global markets are interconnected, so instability in one region can trigger a domino effect on economies in other parts of the world. Required mitigation strategies include better diplomacy to prevent conflict, as well as policies to support affected countries, helping them recover from the crisis and restore their economies. Overall, global conflict has had a broad and profound impact on the world economy. From fluctuating commodity prices to migration challenges and the long-term impact on government spending, it is important for countries to develop proactive strategies to respond to the threats and impacts posed by global conflict.