The World Bank has cut its 2026 global growth forecast to two point five percent, down from two point nine percent in 2025, blaming the ongoing Middle East conflict and surging oil prices. The bank outlines three scenarios, with growth potentially collapsing to just one point three percent if an energy shock triggers financial market panic. Forecasts have been downgraded for two-thirds of the world's countries, with the UAE and Iraq among the hardest hit as energy export disruptions compound regional instability.