Global commodity prices are expected to fall by 17 per cent over the next two years, reaching their lowest levels since 2020, according to the World Bank's latest Commodity Markets Outlook. Prices are projected to decline by 12 per cent in 2025 and a further 5 per cent in 2026, ending the post-pandemic commodity boom. In real terms, they could fall below the 2015–2019 average for the first time, potentially easing inflation but posing risks to economic growth in two-thirds of developing economies. Energy prices Energy prices are leading the drop. Brent crude oil is forecast to average US$64 per barrel in 2025—down US$17 from 2024—and US$60 in 2026. Coal prices Coal prices are expected to plunge 27 per cent this year and another 5 per cent in 2026. Food prices Food prices are also set to decline by 7 per cent in 2025 and 1 per cent in 2026, though the UN warns that 170 million people across 22 countries will remain acutely food insecure. Metals prices Falling demand, trade tensions, and China's property slowdown are driving down industrial metals prices, while gold is expected to set a record in 2025 as investors seek safety amid global uncertainty. The World Bank noted that commodity price volatility has reached its highest level in over 50 years. It urged developing economies to build fiscal space, improve investment climates, and liberalise trade to cope with future shocks. Attribution: Amwal Al Ghad English Subediting: Y.Yasser
