Global Economy Shows Precarious Resilience Into 2026
PwC's May 2025 outlook finds the economy resilient yet increasingly precarious, sustained by AI investment and government spending; a survey of 678 US executives shows one-third expect expanded opportunities and over half have begun cost cuts, reallocations, or supply-chain diversification. The firm forecasts 2.7% global GDP growth for 2026 and 2.1% in the US with unemployment near 4.4%, warns of household power rising 4.2% and healthcare costs about 8.5%, and flags risks from monetary shifts, stablecoins, and geopolitical tensions.
Key Points
- 1Reports global growth at 2.7% in 2026, US growth 2.1%, unemployment 4.4%
- 2Highlights AI, government spending, and markets as narrow pillars sustaining the economy
- 3Advises firms to implement cost cuts, supply diversification, and domestic-focused strategies
Scoring Rationale
Credible, actionable global forecast with clear sectoral figures; limited novelty beyond updated macro projections.
Sources
Public references used for this report.
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