Apr 30, 2025
📈 World Bank Forecasts 12% Commodity Price Decline in 2025, 5% in 2026, Hitting Six-Year Low

The World Bank projects a 12% decline in commodity prices in 2025, followed by a 5% drop in 2026, reaching the lowest levels in six years. Weak global growth and reduced oil demand amid ample supply are key drivers. Over half of commodities will face declines, many exceeding 10%. Following volatility from 2020–2024, lower prices are expected to ease global inflation. Risks include a deeper global slowdown, deteriorating trade relations, or tighter financial conditions, which could further suppress demand. Conversely, improved trade could spur growth and lift commodity prices.