The global economy has shown resilience, but the outlook remains clouded by trade tensions, fiscal strains and persistent uncertainty, according to a United Nations report. Growth is expected to slow to 2.7% in 2026, below 2025 levels and the pre-pandemic average, as subdued investment and structural headwinds weigh on momentum despite easing inflation and monetary loosening.

Without stronger policy coordination, today’s pressures risk locking the world into a lower-growth path. Tight fiscal space, uneven disinflation and weakening multilateral cooperation are slowing progress towards the Sustainable Development Goals, particularly in developing and climate-vulnerable economies.

The report was produced by the United Nations Department of Economic and Social Affairs (UN DESA), in partnership with UN Trade and Development (UNCTAD) and the five United Nations regional commissions: Economic Commission for Africa (ECA), Economic Commission for Europe (UNECE), Economic Commission for Latin America and the Caribbean (ECLAC), Economic and Social Commission for Asia and the Pacific (ESCAP) and Economic and Social Commission for Western Asia (ESCWA). The United Nations World Tourism Organization (UN Tourism) also contributed to the report.