Global economic growth to slow to 2.6 percent in 2026

Global economic growth will slow to 2.6 percent this year as energy shocks test the world economy. The UN trade agency noted that Asia will drive most growth while trade fragmentation and AI risks persist.

FILE PHOTO: A general view of the skyline in Mumbai, India, May 5, 2025. REUTERS/Francis Mascarenhas/File Photo

Global economic growth will slow to 2.6% in 2026 from 2.9% last year, as Middle East energy shocks pressure international markets, the United Nations Conference on Trade and Development said on Friday morning. The deceleration follows a record $35 trillion in global trade in 2025, though expansion is now largely driven by elevated energy prices. The projection highlights mounting vulnerabilities across strategic supply chains and financial markets.

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