Many developing economies are starting to buckle under the cumulative impacts of inflation, higher fuel and wheat costs and debt — all hitting as countries struggle to recover from the pandemic.Overcoming this challenge will absorb donor resources, shape both oil demand and energy transition trajectories and generate political stresses.For strategic countries like Egypt, help will probably be forthcoming — but it will come with strings attached. Save for later Print Download Share LinkedIn Twitter Even if the world manages to avoid a general recession, many developing countries are in crisis. More so than in past downturns, predicting responses and impacts presents a challenge. There is no standard model, especially as regards energy impacts. In Lebanon, the collapse of the state has sparked a boom in solar take-up, despite the considerable upfront costs of installation. However, by and large, rising austerity has been bad for the clean energy transition.