The International Monetary Fund (IMF) raised its global economic growth forecast for 2026 to 3.8%, up from its earlier projection of 3.2%, citing stronger-than-expected performance across emerging markets in Southeast Asia and Sub-Saharan Africa.

The revised forecast, published in the IMF's World Economic Outlook update, reflects sustained resilience in consumer spending and a recovery in global trade volumes following supply chain normalization.

Regional highlights:

  • Southeast Asia: Vietnam, Indonesia, and the Philippines are projected to grow at 6.5%, 5.9%, and 6.2% respectively
  • Sub-Saharan Africa: The region is expected to expand by 4.7%, led by Ethiopia, Rwanda, and Côte d'Ivoire
  • United States: Growth revised upward to 2.4% on the back of continued labor market strength
  • Eurozone: Modest improvement to 1.8% following energy sector stabilization

    • IMF Chief Economist Pierre-Olivier Gourinchas cautioned that risks remain, particularly around geopolitical tensions and potential volatility in commodity markets.

    Markets responded positively to the announcement, with global equity indices posting gains across major exchanges.