More global shocks ahead – IMF chief Kristalina Georgieva, the IMF Managing Director, has stated that the world has not yet fully accepted that major disruptions are becoming the norm. She warned that rapid AI adoption could exacerbate existing trends of job displacement and community decline, a backlash against globalization. The IMF has downgraded its global growth forecast, citing high oil prices due to conflicts and lingering effects of past energy crises.

• Major disruptions are becoming the new normal, and the world has not fully internalized this.
• The backlash against globalization has hollowed out communities due to job losses.
• Rapid AI introduction could worsen existing trends.
• IMF has downgraded global growth forecast for 2026 due to rising oil prices from conflicts.
• The Middle East conflict and high energy prices are impacting the US and Eurozone growth.
• Russia’s growth forecast has been revised upwards.
• EU officials are considering restoring energy ties with Russia but plan to phase out Russian fossil fuels by 2027.