International Monetary Fund headquarters in Washington, D.C.

IMF nudges up 2026 growth forecast but warns resilience is nearing its limits

The fund sees 3.1 per cent global growth this year, helped by AI investment, with inflation at 4.7 per cent.

International Monetary Fund headquarters in Washington, D.C.

By West Coast News staff

Oct 12, 2026, 7:01 pm PT · 1 min read

The International Monetary Fund raised its 2026 global growth forecast to 3.1 per cent from 3.0 per cent in July, and kept 2027 at 3.4 per cent, CNBC reports from the IMF and World Bank meetings in Bangkok.

The fund said AI-related investment helped offset higher energy costs from the Middle East war. It expects inflation of 4.7 per cent this year, easing to 4.1 per cent in 2027, and now assumes the Strait of Hormuz reopens in March 2027.

Partner links From West Coast News's sister sites and stores

InvoiceFlow Collections ConsoleLocal-first receivables and invoice-ageing tool for small businesses.
Ackerman.ca's department storeA department store established in 1910: technology, fashion, home, books and gifts.
the ARQS Store's business softwareAI receptionist, business automation, readiness reviews, website audits and launch packages.
AI Academy's practical AI coursesSelf-study courses in practical AI workflows from Northline Technology Institute.
ARQS Flow ConnectA workspace for integrations, approvals and governed workflows. 30-day starter access.
InvoiceFlow Billing Control StudioInvoice-data quality analysis with an ARQS-reviewed findings summary.
the ARQS Crypto ChallengeA prize challenge with net proceeds intended for Norwood Ravenswood.

The IMF warned that if AI productivity gains fail to appear, U.S. stocks could fall 20 per cent and global output could end up 1.1 per cent below its baseline by 2028.

More coverage: Business news · latest headlines.