Micah Jonah, February 2, 2026
The Managing Director of the International Monetary Fund, Kristalina Georgieva, has said global inflation is expected to ease further, supported by weaker demand conditions and lower energy prices.
Speaking on Monday at the Annual Arab Fiscal Forum in Dubai, Georgieva said global inflation is projected to fall to 3.8 percent this year and further decline to 3.4 percent by 2027.
She noted that despite major shifts in geopolitics, trade policies, technology and demographic trends, global economic growth has remained resilient.
According to her, the global economy has held up better than many anticipated, even as countries adjust to new realities shaping international trade and economic relations.
Georgieva also stressed the need for stronger trade integration, warning that the growing trend of unilateral trade actions could weaken global economic stability.
She said increased cooperation and integration in global trade are critical at a time when fragmentation poses risks to growth and development.
The IMF chief added that while trade growth has slowed, it has not declined as sharply as earlier feared, noting that global trade continues to expand, though at a slightly slower pace than overall economic growth.
She urged policymakers to prioritize collaboration, dialogue to sustain growth, ensure long term economic stability across regions.
