World Bank Cuts 2026 Growth Forecast to 2.5% as Iran War Drives Brent Crude Forecast to $94
The World Bank cut its 2026 global growth forecast to 2.5%, a pace it said would be the slowest since Covid, as the Iran war drives up energy prices and inflation by choking off oil and fertilizer supplies through the Strait of Hormuz. The bank expects Brent crude to average $94 a barrel in 2026 and projects average commodity prices will rise 22%, reversing a January forecast for a 7% decline.
The pressure is expected to fall hardest on poorer countries as higher fuel, fertilizer and shipping costs raise import bills and threaten food supplies. Grain shipments rerouted around Africa are adding about four weeks and 9,000 miles to deliveries, and the bank also cut its 2026 growth forecast for the Middle East to 1.6% from 4.3% in January.
From the sources (7 posts)
@financialjuiceWorld Bank: Average commodity prices projected to rise by 22% in 2026, sharp reversal from 7% decline forecast in January.
@financialjuiceWorld Bank forecasts US 2026 GDP growth rate at 2.2%, unchanged from January forecast, up from 2.1% in 2025.
@financialjuiceWorld Bank forecasts average Brent Crude prices at $94 per barrel in 2026, up $34 from January forecast
@financialjuiceWorld Bank cuts 2026 GDP growth forecast for the Middle East region to 1.6% vs 4.3% in the January forecast, 4% in 2025.
@businessThe World Bank cut its outlook for global growth this year and said two-thirds of economies have seen prospects deteriorate as the Middle East war disrupts commodity flows and raises the cost of imports.
@marionawfal🇮🇷 The Iran war is hammering the global economy on two fronts at once, and the bill is landing on the world's poorest. The World Bank just cut its 2026 growth forecast to 2.5%, the slowest since COVID, blaming surging energy prices and inf
@thenationalnewsIran war fuels slowest global growth since Covid, World Bank warns