World Bank forecasts 24-pct surge in energy prices in 2026

The World Bank predicted Tuesday that energy prices may surge 24 percent in 2026 to their highest level since the Russia-Ukraine conflict erupted in 2022 due to the war in the Middle East, while overall commodity prices are projected to increase 16 percent.

In its latest Commodity Markets Outlook released on Tuesday, the World Bank said that attacks on energy infrastructure and shipping disruptions in the Strait of Hormuz, which handles about 35 percent of global seaborne crude oil trade, have triggered the largest oil supply shock on record, with an initial reduction in global oil supply of about 10 million barrels per day.

Fertilizer prices are projected to increase by 31 percent in 2026, driven by a 60-percent jump in urea prices, while prices for base metals, including aluminum, copper and tin, are expected to reach all-time highs.

Precious metals prices are forecast to increase 42 percent as geopolitical uncertainty fuels demand for safe-haven assets.

Commodity prices could rise even higher if hostilities escalate or supply disruptions from the Iran war last longer than projected, the report said.

Indermit Gill, the World Bank Group's chief economist and senior vice president for Development Economics, said the war is hitting the global economy in cumulative waves, warning that poorer populations will be hardest hit.

World Bank forecasts 24-pct surge in energy prices in 2026

World Bank forecasts 24-pct surge in energy prices in 2026

World Bank forecasts 24-pct surge in energy prices in 2026

World Bank forecasts 24-pct surge in energy prices in 2026

India is expected to advance the Global South agenda at the 18th BRICS Summit in New Delhi on Saturday and Sunday, said a senior executive editor with Indian broadcaster NewsX World in an interview with China Global Television Network (CGTN).

NewsX World Senior Executive Editor Megha Sharma said that building economic resilience is one of the priorities of India in implementing the chairmanship of BRICS this year.

The theme of the forthcoming BRICS Summit is "Building for Resilience, Innovation, Cooperation and Sustainability."

"Building for resilience and innovation, for cooperation and sustainability, to push forward again the Global South agenda. Talking about innovation, we are talking about digital public infrastructure. This is something that India has pushed successively," said Sharma.

She said successful outcomes from the Summit could include progress in counter-terrorism cooperation and digital infrastructure construction.

"Counter-terrorism cooperation. There have been a lot of terrorist attacks that have taken place. Building digital infrastructure, digitally public infrastructure, whether it is about UPI (Unified Payment Interface) that India has been advocating and successfully implementing in countries in the subcontinent, in Southeast Asia and Africa as well," said Sharma.

Launched in 2009, BRICS has grown to 11 full member states and 10 partner countries representing major emerging markets and developing economies across the globe.

18th BRICS Summit to advance Global South agenda: news editor