The global economy has shown resilience, but the outlook remains clouded by trade tensions, fiscal strains and persistent uncertainty. Growth is expected to slow to 2.7% in 2026, below 2025 levels and the pre-pandemic average, as subdued investment and structural headwinds weigh on momentum despite easing inflation and monetary loosening.

Without stronger policy coordination, today’s pressures risk locking the world into a lower-growth path. Tight fiscal space, uneven disinflation and weakening multilateral cooperation are slowing progress towards the Sustainable Development Goals, particularly in developing and climate-vulnerable economies.

https://unctad.org/publication/world-economic-situation-and-prospects-2026