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IMF lowers global economic growth forecast for 2026 amid risks related to the situation in the Middle East

IMF lowers global economic growth forecast for 2026 amid risks related to the situation in the Middle East

Published on: 2026-07-08

Source: People’s Republic of China in Russian –

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New York, July 8 /Xinhua/ — In 2026, the global economic growth rate will slow to 3 percent, then recover to 3.4 percent in 2027. This forecast was made on Wednesday by the International Monetary Fund (IMF).

As noted in the July version of the IMF’s “World Economic Outlook” report, the expected growth is below the average rate of 3.5 percent in 2025, and also slightly below the IMF’s April forecast of 3.1 percent. The moderate slowdown is due to the impact of the war in the Middle East, which is partially offset by the accelerated dynamics of the global technology cycle driven by increased demand caused by advances in artificial intelligence technologies and their implementation.

According to the IMF’s estimate, taking into account the projected increase in energy prices, less stringent monetary policy, as well as high political and geopolitical uncertainty through 2027, global inflation will rise from 4.1 percent in 2025 to 4.7 percent in 2026, after which it will decrease to 3.9 percent in 2027. This forecast is slightly higher than that of April.

In addition, the IMF expects the pace of global trade growth to slow from 5.0% in 2025 to 3.5% in 2026, and then accelerate again to 4.3% in 2027. –0–

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