World Bank. While the projection for FY26 is unchanged from June 2024, growth for FY27 has been revised downwards by 0.1 percentage point.
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The GEP report has projected the world economy to expand by 2.7% in both 2025 and 2026, the same pace as in 2024, on the back of a gradual decline in inflation and interest rates.
In the broader South Asian region, GDP growth is projected to rise to 6.2% in 2025 and 2026, primarily due to robust growth in India, the report highlighted. This is compared to a 6% growth in 2024.
Per capita GDP in China and India, the world’s two largest emerging market and developing economies, continues to move closer to advanced country levels, albeit at a slowing pace, it said.
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