5:58 5 February 2026
Inflation outlook improves
Global inflation is set to ease over the next two years, according to International Monetary Fund forecasts. Speaking to Reuters, IMF Managing Director Kristalina Georgieva said price growth should slow to 3.8 percent this year and decline further to 3.4 percent in 2027.
Addressing the Annual Arab Fiscal Forum in Dubai, Georgieva noted that the global economy has remained “extraordinarily resilient” despite geopolitical tensions, shifting trade policies, rapid technological change and demographic pressures.
She urged countries to deepen trade ties at a time when unilateral measures and fragmentation are on the rise. Stronger integration, she argued, is essential to sustain growth and contain inflation risks.
Trade flows, she added, have proved more durable than expected, expanding slightly more slowly than overall global output rather than contracting sharply, easing fears of a broader slowdown.
