IMF expects world economy to grow a sluggish 3% this year, weighed down by Iran war but helped by AI

The IMF revised its 2026 global growth forecast downward to 3% due to energy shocks from the Iran war, though AI investment is offsetting some impacts. The U.S. economy is expected to grow 2.3%, while China and India face slower expansion. Energy prices are projected to rise 32% this year, with inflation stalling at 4.7%.