Global economic growth is proving more resilient than expected, according to the World Bank’s semiannual Global Economic Prospects report released Tuesday. The report projects GDP growth of 2.6% in 2026, slightly above the 2.7% forecast for 2025, before slowing to 2.7% in 2027.
The 2026 GDP growth forecast was revised up by 0.2 percentage points from the June projection, while the 2025 growth forecast is 0.4 percentage points higher than the previous estimate.
About two-thirds of the upward revision reflects stronger-than-expected U.S. economic growth, despite tariff-related trade tensions, the World Bank said.
The report forecasts U.S. GDP growth of 2.2% in 2026, up from 2.1% in 2025, representing upward revisions of 0.2 and 0.5 percentage points from the June projections, respectively.
However, the institution cautioned that growth remains too concentrated in advanced economies and generally too weak to significantly reduce extreme poverty.
Global Economic Prospects report
The “Global Economic Prospects” report is a flagship publication by the World Bank Group that analyzes short- and long-term economic trends and challenges facing developing countries. First launched in the 1970s, it provides biannual forecasts and policy recommendations, drawing on extensive data and research to help policymakers navigate global economic shifts. The report is widely used by governments, international organizations, and academics to understand risks such as debt, inflation, and trade disruptions.
World Bank
The World Bank is an international financial institution established in 1944 at the Bretton Woods Conference, initially focused on rebuilding Europe after World War II. Headquartered in Washington, D.C., it now provides loans, grants, and technical assistance to developing countries for projects aimed at reducing poverty and promoting sustainable economic growth. Over time, its mission has expanded to address global challenges such as climate change, education, and health.
