IMF raises its forecast for world growth this year but says economies will slow in 2027 – WTOP News
The fund said 32 countries now account for 95% of global growth as higher energy costs and AI demand widen economic gaps.
- On Tuesday, the International Monetary Fund raised its 2026 global economic growth forecast by 0.1 percentage point to 3.1%, citing "resilience" in the face of persistent high energy costs and other shocks.
- Twin economic forces of the war in Iran and the AI technology boom have created a "fragmented" world economy, reallocating growth based on exposure to war-induced shocks and AI-related demand.
- During an event Monday, IMF Managing Director Kristalina Georgieva called AI's employment impact "a slow moving tsunami," estimating around 40% of global jobs face potential augmentation, downgrading, or elimination.
- Global inflation is set to accelerate to 4.7% in 2026, creating a "bifurcated outlook" where energy-importing countries without AI exposure remain most vulnerable to financial instability.
- Mounting debt poses a growing risk to global financial stability, IMF Chief Economist Tenreyro warned, urging countries to focus on "rebuilding supply-side resilience" and maintaining price stability.
54 Articles
54 Articles
Global economic growth will slow to 3.1 percent this year from 3.5 percent last year, the International Monetary Fund (IMF) said in its autumn economic outlook on Tuesday. However, it slightly improved its estimate for this year's growth from the three percent forecast in its spring outlook update in July. The IMF still expects global gross domestic product (GDP) growth to accelerate to 3.4 percent next year.
Annual meeting of the International Monetary Fund in Thailand. Sakchai Lalit / AP The International Monetary Fund (IMF) increased slightly this Tuesday its projection for the global economy in 2026, but it continues to forecast modest growth of 3.1%. In July, the IMF estimated global expansion of 3.0%. In 2025, the world economy grew 3.5%. In the World Economic Outlook report, the agency predicts that the growth of the United States remains stab…
IMF upgrades 2026 growth forecast but warns of 'split' outlook
In its World Economic Outlook (WEO) released at the organization's Annual Meetings in Bangkok, the Fund raised its 2026 global growth forecast by 0.1 percentage points to 3.1 percent, compared to 3.5 percent growth in 2025. The IMF warned that while many advanced economies have been buoyed by rising investment in artificial intelligence (AI) technology, poorer countries that are not benefiting from that boom face stark choices as they deal with …
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