The World Bank on Tuesday revised 2026 global growth forecast upward to 2.6 percent, 0.2 percentage points higher than its projection in June.
In its January 2026 edition of the Global Economic Prospects report, the World Bank also warned the growth is still a slowdown from the 2.7 percent pace seen in 2025, with a widening gap in living standards internationally.
The 2020s are "on track to be the weakest decade for global growth since the 1960s," the report said.
Noting the global economy showed resilience in 2025 due to factors including surging investment in artificial intelligence, the World Bank expects global trade growth to decelerate markedly in policy uncertainty in 2026, as stockpiling fades and the impact of tariff measures builds.
The World Bank is also concerned with a widening gap in living standards between richer and poorer nations.
The World Bank called for policy reforms, including trade liberalization and investment in technology and education, to foster sustainable growth, while noting downside risks from trade tensions persist.
The World Bank raised China's 2026 growth outlook by 0.4 percentage points to 4.4 percent, citing fiscal stimulus, resilient exports, and improving investor sentiment.
World Bank raises 2026 global growth forecast to 2.6 pct
Residents living in Canada's biggest city of Toronto have expressed optimism that Canadian Prime Minister Mark Carney's official visit to China can unlock new economic opportunities, particularly in key fields such as artificial intelligence and infrastructure.
Carney is set to arrive in China on Wednesday to begin a four-day visit at the invitation of Chinese Premier Li Qiang, marking the first trip by a Canadian prime minister to China since 2017.
A Chinese foreign ministry spokesperson confirmed Chinese President Xi Jinping will meet with Carney during his stay to provide new strategic guidance for further improving and developing China-Canada relations.
Giving their assessment of the significance of the visit and the outcomes they hope to see achieved, local people in Toronto pointed to the importance of deepening cooperation and view the high-tech sector as one of the most pivotal areas where ties can be enhanced.
"I think, of course, China is probably the leader in AI and new technologies. So, I think Canada can really benefit from Chinese expertise on some of the chip manufacturing or just the use of AI in the medical field, in every other finance field and everything. So, I think this can be very important for Canada to learn from China," said Raman, the provincial liaison manager at the Canadian Federation of Independent Business.
"I think it is a good idea to strengthen relations with other countries and other trade partners that have been probably more consistent. And especially with things going on in electronics right now and chip manufacturing, I do think that it makes sense at this point in time to be reaching out to China," said Jen, a local nurse.
Some see Carney's visit as an opportunity to broaden the economic agenda in various other key areas.
"I'm actually pretty looking forward to it because they could talk a lot about trade. That could be a good opportunity for Canada and China to explore some other export opportunities on energy, and also, maybe pipeline building, infrastructure building, and also, real estate investment and agriculture," said Xiong Lulu, an equity research analyst.
Looking ahead, many residents emphasize that much depends on whether Carney's visit can translate into concrete agreements.
"It would be nice. I hope there's some kind of good relationship between China and Canada. That would be like a great opportunity that we would miss if we didn't create that relationship with them. So, hopefully, in hindsight, [in] 2026 it does happen," said John, a software developer.
"I think if they can settle some trade deals, that will be great. So, I think it will be great for the Canadian economy," said Xiong.
President Xi and Carney last met on the sidelines of the 32nd APEC Economic Leaders' Meeting in the Republic of Korea (ROK) in October, with both sides agreeing to resume exchanges and cooperation in various fields and jointly advance the development of the China-Canada strategic partnership.
Toronto residents optimistic about Canada-China cooperation prospects
