Global Economic Growth Projected to Slow in 2026 Amid Iran War and Elevated Energy Prices

The global economy is projected to slow to 3.0 percent growth in 2026, down from 3.3 percent in 2025, according to analysis presented at the Peterson Institute for International Economics. The ongoing war in the Middle East, particularly disruptions to energy markets and supply chains, and persistently high energy prices are cited as significant factors clouding the economic outlook.