World Bank expects global economy to jump by 2.7 percent in 2025, 2026

(MENAFN) The World Bank predicted Thursday that the global economy will grow by 2.7 percent in both 2025 and 2026, maintaining the same pace as in 2024.

However, it warned that developing economies are expected to face the weakest long-term growth outlook since 2000, according to its latest Global Economic Prospects report.

"While the global economy stabilizes in the next two years, developing economies will likely make slower progress in closing the income gap with advanced economies," the report stated.

The forecast for developing economies is steady growth of about 4 percent over the next two years.

"However, this represents a weaker performance than prior to the COVID-19 pandemic and will not be enough to significantly reduce poverty or meet broader development objectives," it added.

The report highlighted that during the first decade of the 21st century, developing economies grew at the fastest rate since the 1970s.

"New global trade barriers in 2024 were five times higher than the 2010-2019 average. As a result, overall economic growth slowed—from 5.9 percent in the 2000s to 5.1 percent in the 2010s and to 3.5 percent in the 2020s," the report concluded.

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