The World Bank has projected energy prices to drop by 6 per cent in 2025, and an additional 2 per cent in 2026.
Also, it said that global food prices are set to fall 9 percent this year, and an additional 4 percent in 2025 before leveling off, but would still leave food prices nearly 25 percent above the average level from 2015 through 2019.
The Bank added that from 2024 through 2026, global commodity prices are projected to plummet by nearly 10 per cent.
This is contained in the World Bank’s latest Commodity Markets Outlook released on Tuesday.
The Report states, “Global commodity prices are set to tumble to a five-year low in 2025 amid an oil glut that is so large that it is likely to limit the price effects even of a wider conflict in the Middle East. Even so, overall commodity prices will remain 30% higher than they were in the five years before the COVID-19 pandemic.
“Next year, the global oil supply is expected to exceed demand by an average of 1.2 million barrels per day, a glut that has been exceeded only twice before – during the pandemic-related shutdowns in 2020 and the 1998 oil – price collapse.”
ALSO READ THESE TOP STORIES FROM NIGERIAN TRIBUNE
