AI Investment Collapse Could Threaten Global Economy, Says IMF

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The International Monetary Fund (IMF) said that a sharp downturn in artificial intelligence investment could threaten global economic growth, as rising government debt and cyber risks also leave the world economy vulnerable to further shocks.
In its latest World Economic Outlook, released during the IMF and World Bank annual meetings in Bangkok, Thailand, on Oct. 13, the fund forecast global growth of 3.1 percent in 2026 and 3.4 percent in 2027.
In one downside scenario, the IMF said that a steep drop in AI investment could lead to a sharp fall ⁠in asset prices, ultimately cutting global GDP by 1.1 percent by 2028, including a 1.8 percent drop in U.S. output….
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