Launch of the January 2026 World Banks's Global Economic Prospects (GEP)
The global economy has shown notable resilience to heightened trade tensions and policy uncertainty. Looking forward, global growth is projected to edge down to 2.6 percent this year as several supportive factors fade. Near-term risks to the global outlook are tilted to the downside. Growth could falter if trade tensions escalate, barriers rise further, or financial market sentiment deteriorates amid asset price declines, fiscal concerns, or inflation surprises. On the upside, AI-related activity could broaden, and firms’ adaptability to new trade conditions could support growth.
Global efforts are needed to improve the trade environment, ease financing constraints, and mitigate climate risks. To catalyze investment and support long-term growth, policy makers in EMDEs should advance domestic reforms to diversify trade, strengthen macroeconomic frameworks, and remove structural bottlenecks. Without stronger economic dynamism, many EMDEs will struggle to create enough jobs for expanding working-age populations. Key pillars to address this jobs challenge include policies that promote physical, digital, and human capital infrastructure; that secure a better business environment; and that mobilize private capital to help meet substantial investment needs.
In addition to the global and regional outlooks, this edition of Global Economic Prospects features two analytical chapters. One chapter provides a comprehensive analysis of the use of fiscal rules, which set clear limits on government budgetary aggregates or debt to help manage public finances. Another chapter explores the promise, performance, and prospects of frontier market economies, a diverse group of EMDEs with limited but growing integration into global financial markets
Opening Remarks
Irene Alaoui, External affairs - Multilaterals and Government Affairs - The World Bank Group
Keynote Speaker
Ayhan Kose, Deputy Chief Economist of the World Bank Group and Director of the Prospects Group
DISCUSSANT
Ugo Panizza, Full Professor, International Economics & Pictet Chair in Finance and Development, and Deputy-Director, Centre for Finance and Development, Geneva Graduate Institute
Registration
Registration required. Please register here
Organisers
The event is jointly organised by the World Bank and the Centre for Finance and Development (CFD) in partnership with the Centre for Economic Policy Research (CEPR), and is part of the CFD-World Bank High-Level Series on Financing for Development.
