Global Growth Cooling — Risks Accumulating
The OECD’s interim economic outlook reports that the global economy, while more resilient than feared, is showing signs of slowing as tariff tensions, inflation, and fiscal pressures mount.
Growth is projected to slip from 3.2 % in 2025 to 2.9 % in 2026, with advanced economies feeling more of the pinch.
In the U.S., slowing industrial production and tighter trade conditions are beginning to ripple into weaker domestic demand.
Meanwhile, European manufacturers are reeling from disruptions — e.g. Jaguar Land Rover’s factory shutdown — as global supply chains buckle under strain.
Why it matters: A global slowdown especially threatens commodity exporters and emerging economies that rely on external demand. Countries like Uganda will have to navigate tighter financing, weaker exports, and investment uncertainty.
