IMF raises 2026 growth forecasts for several economies while warning of uneven recovery
The International Monetary Fund said global growth in 2026 will slow less than expected, citing advanced economies' resilience despite war-driven energy prices. Germany's forecast was nearly doubled.
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What happened
The International Monetary Fund released its World Economic Outlook on Tuesday, forecasting that global growth in 2026 will slow less than previously expected. It described a split economic picture, with countries less exposed to the oil shock and those benefiting from AI demand pulling ahead.
Why it matters
The IMF warned that the global economy could soon test the limits of resilience, noting that states' oil stocks are low and budgets are overstretched. Export reliance and a persistent property crisis in China were cited as risks to its outlook.
Timeline
- Oct 12, 10:00 PM ET: The IMF published its World Economic Outlook, forecasting slower global growth in 2026 than previously expected and warning of a split economy.
- Oct 12, 10:18 PM ET: The IMF nearly doubled its 2026 growth projection for Germany to 1.3%.
- Oct 13, 6:15 AM ET: The IMF forecast global growth of 3.1% in 2026, with the Middle East and Central Asia region at minus 0.3%, the largest downward revision.
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