World Bank Lowers 2026 Global Growth Outlook Due to Middle East Conflict

The World Bank has reduced its global growth forecast for 2026 to 2.5%, marking the lowest rate since the COVID-19 pandemic. This downward revision is primarily attributed to the economic repercussions of the Middle East conflict, which has fueled increased energy prices and renewed inflationary pressures. The report also acknowledges artificial intelligence as a potential growth driver, though its impact remains uncertain.