Economy

Developing Economies Face Sharper Slowdown as Growth Slips to 4% in 2026

AI SUMMARY

UNCTAD projects global economic growth to ease to 2.6% in 2026, with growth across developing economies slowing down to 4.0%.

Global economic growth is projected to ease to 2.6% in 2026, down from 2.9% in the previous year.
Growth across developing economies is expected to decelerate to 4.0% in 2026 from 4.7% in 2025.
Asia is projected to contribute 59% of global economic growth in 2026.
India, Indonesia, Vietnam, and China are expected to grow by 7.3%, 5.2%, 7.8%, and 4.5% respectively in 2026.
Income convergence outside dynamic Asian economies has stalled since the mid-2010s.
Regional conflicts have caused severe fluctuations in crude oil and energy prices.
Official Development Assistance to least-developed countries and small island developing states is projected to fall nearly 7% in 2026.
Developed economies capture about 70% of the value in strategic greenfield investments.
Africa mines most of the world’s cobalt but retains less than 1% of the value in clean energy supply chains.