The World Economic Forum’s Chief Economists Outlook, released on Tuesday, September 22, 2026, drew on 56 chief economists from both public and private sectors. It marked a sharp turnaround from May’s 89% forecast of worsening conditions to a more hopeful 56% view that the global economy will hold steady or improve in 2027. The shift reflects growing confidence in fiscal resilience and technology adoption, but also flags several looming risks.
AI is set to dominate the next year, with 97% of economists predicting a surge in usage and 69% believing it will lift productivity. Yet the same survey warns that 61% do not expect data‑centre investment to generate significant employment, even as 78% see it as a growth catalyst. Community pushback is high, with 79% anticipating local opposition, and 78% foreseeing electricity hikes while 58% foresee water cost increases.
Trade dynamics are tightening too. Sixty‑seven percent foresee Chinese large‑language models catching up to U.S. counterparts, while 77% predict widening economic divides. Tariff expectations are split: 55% see U.S. rates climbing, 43% Europe. Still, 83% expect Chinese exports to swell beyond the U.S., and the U.S. remains the preferred base for multinationals, followed by South‑East Asia, Europe, and India, with China trailing.
Living costs loom large. Eighty‑eight percent anticipate food price hikes, 83% electricity, 77% transport, leaving real incomes flat or falling in most regions. In contrast, over 60% foresee real income gains in India and South‑East Asia, prompting governments to consider tax cuts on essentials, consumption subsidies, and price caps, though only a third target low‑income households.
The WEF plans to channel these insights into policy proposals at its 2027 Annual Meeting, urging governments to bolster fiscal support, address AI’s job‑creation gap, and manage data‑centre expansion’s environmental impact. The coming months will see policymakers wrestling with tariff recalibrations and community opposition as the global economy braces for a tech‑driven yet cost‑strained future.