World Bank Mobilizes $100 Billion for Developing Economies

The World Bank is preparing to mobilize $100 billion in financial support over the next 15 months to help developing economies cushion the impact of escalating tensions in the Middle East and rising inflation. The bank warns that the ongoing conflict could drag global growth to its weakest level since the COVID-19 pandemic, with energy prices surging and tighter financial conditions weighing on economic activity.

According to the latest Global Economic Prospect report, global growth is projected to slow to 2.5% in 2026, down from 2.9% in 2025, with two-thirds of economies facing downward revisions. The World Bank will immediately make $50 billion to $60 billion available through existing financial instruments, including $25 billion from pre-arranged funds.

This support aims to strengthen social safety nets and provide liquidity to businesses and farms affected by the crisis. The bank's President, Ajai Banga, emphasized the need to protect people and preserve stability while responding to current shocks.