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World Bank sees resilient global growth in 2026 despite tariffs, but fading dynamism
The World Bank's slight 2026 growth upgrade is driven by stronger US and Chinese performance but warns global recovery remains too weak to reduce extreme poverty.
- On Jan 13 the World Bank raised the 2026 GDP forecast by two-tenths of a percentage point and projects global output growth slowing to 2.6% this year with 2.7% in 2025 and 2027.
- About two-thirds of the revision reflected better-than-expected US growth despite tariff-driven trade disruptions, with an import surge early in 2025 holding back growth that year and bigger tax incentives aiding 2026.
- Emerging market and developing economies will slow to four per cent in 2026 from 4.2 per cent in 2025, with forecasts revised down from June, the World Bank said.
- If forecasts hold, the 2020s are on track to be the weakest decade for global growth since the 1960s, risking stagnation and joblessness in emerging market and developing countries, while a quarter of developing countries face lower per-capita incomes than in 2019.
- The World Bank cautioned that tariffs continue to drag on investment and consumption, while divergence between dynamism and resilience could fracture public finance and credit markets.
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24 Articles
24 Articles
World Bank sees resilient global growth in 2026 amid tariffs but fading dynamism
The global economy is proving more resilient than expected, with 2026 GDP growth expected to improve slightly over forecasts from last June, the World Bank said on Tuesday while warning that growth is too concentrated in advanced countries and overall too weak to reduce extreme poverty.
·United Kingdom
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In part, the expansion of the global economy in 2026 and 2027 will be driven by the greater dynamism of the United States economy, according to the agency.
·Brazil
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Coverage Details
Total News Sources24
Leaning Left3Leaning Right2Center4Last UpdatedBias Distribution45% Center
Bias Distribution
- 45% of the sources are Center
45% Center
L 33%
C 45%
R 22%
Factuality
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