Global financial institution UBS has projected a 3% expansion in the world economy for 2026, marking a significant recovery from previous forecasts. This optimistic outlook comes as analysts anticipate diminishing impacts of international trade tariffs that have influenced markets in recent years.
In an exclusive interview with KhabarAsia.com, Arend Kapteyn, UBS Global Head of Economics and Strategy Research, noted: "While we see strong potential for growth acceleration this year, particularly in Asian markets, lingering policy uncertainties from Washington continue to cast shadows on global supply chains."
The forecast highlights Asia's pivotal role in driving economic recovery, with emerging technologies and regional trade agreements expected to offset slower growth in other regions. However, Kapteyn cautioned investors to monitor currency fluctuations and geopolitical developments that could affect market stability.
This analysis arrives as business leaders prepare for next month's APEC Finance Ministers' Meeting, where tariff reduction strategies will feature prominently in discussions among member economies.
