IMF Raises 2026 Global Growth Forecast to 3.1% on AI Investment
Economy

IMF Raises 2026 Global Growth Forecast to 3.1% on AI Investment

The global economy is projected to grow by 3.1 per cent in 2026, according to the International Monetary Fund’s latest World Economic Outlook. The forecast is slightly above July’s estimate of 3 per cent, although it remains below the 3.5 per cent growth recorded in 2025.

Investment in artificial intelligence infrastructure has helped support the outlook, driving demand for advanced chips and related equipment. The IMF expects global growth to reach 3.4 per cent in 2027, but says the recovery remains uneven. Only 32 countries now account for 95 per cent of global growth, compared with 54 in April.

The outlook faces several risks. A prolonged conflict in the Middle East could keep energy prices high and weaken economic activity. Rising government debt may also constrain public spending, while uncertainty over the profitability of AI investment raises concerns about the durability of the current boom.

The IMF projects global headline inflation of 4.7 per cent in 2026, easing to 4.1 per cent in 2027. Higher energy costs could put further pressure on prices and slow growth if disruptions persist.

Vietnam’s latest economic figures show continued momentum in Southeast Asia. The country’s gross domestic product grew by 9.95 per cent year on year in the third quarter of 2026, up from 8.81 per cent in the second quarter, according to its National Statistics Office.

The figures underline the contrast between strong performance in some economies and a global outlook still exposed to geopolitical and financial uncertainty.