Global economic growth is forecast to decline to 2.7% in 2026 from 2.8% last year before increasing to 2.9% in 2027 - still down from the pre-pandemic average of 3.2% between 2010 and 2019, according to a United Nations report released on Thursday. The World Economic Situation and Prospects report said that while a sharp increase in U.S. tariffs in 2025 created new trade tensions, the absence of broader escalation has helped limit disruptions to international commerce. "Despite the tariff shock, global economic activity proved resilient, supported by front-loaded shipments, inventory accumulation, and solid consumer spending amid monetary easing and broadly stable labor markets," according to the report by the U.N. Department of Economic and Social Affairs. "Continued macroeconomic policy support is expected to cushion the impact of higher tariffs, but growth in trade and overall activity are likely to moderate in the near term," it said.