Emerging Economies Outpace the World as Trade, AI, and Reform Drive a Historic Shift

The Global South Is Quietly Winning 2026

AI TV INFO | Global Economic Intelligence — January 20, 2026

As headlines remain dominated by geopolitical tensions, tariff disputes, and slowing growth in advanced economies, a quieter — but far more consequential — transformation is unfolding across the Global South.

New data released between January 19–20, 2026, including updates from the International Monetary Fund (IMF), UNCTAD, and outcomes from the World Economic Forum (Davos 2026), confirm a powerful trend:
emerging and developing economies are entering 2026 with stronger momentum than the global average — and in some cases, faster growth than ever before.

A Resilient Global Picture — With the South Leading

The IMF’s World Economic Outlook Update (Jan 19, 2026) forecasts:

• Global growth: ~3.3% in 2026

• Emerging & developing economies: Above 4%

• Sub-Saharan Africa: 4.4–4.6%, potentially outpacing Asia for the first time in modern history

This resilience is being driven not by short-term stimulus, but by structural shifts:

• Technology and AI investment

• Strengthening South-South trade

• Policy reforms improving fiscal and monetary stability

• Diversification away from reliance on Western demand

Asia: Technology, Consumption, and Export Power

Asia remains a central engine of Global South growth, with balanced momentum across major and emerging economies.

🇮🇳 India: The Growth Anchor

• IMF raised India’s 2026 growth forecast to ~6.6–7.3%

• Driven by:

  • Strong domestic consumption

  • Massive public infrastructure investment

  • Expanding trade ties with Europe and Asia

• India continues to act as a regional demand hub, lifting South and Southeast Asia.

🇨🇳 China: Stabilization With Precision

• 4.6% projected growth for 2026

• Targeted stimulus, interest-rate cuts, and support for domestic demand

• Balanced approach avoids overheating while sustaining exports.

🇻🇳 Southeast Asia’s Export Surge

• Vietnam, Indonesia, and the Philippines benefit from:

  • Infrastructure megaprojects

  • Manufacturing relocation

  • AI-linked supply chains

• Vietnam’s export-led momentum continues to anchor regional growth.

🇰🇷 South Korea: Record Performance

• $710 billion in exports (2025) — an all-time high

• Semiconductor demand and advanced manufacturing underline Asia’s tech resilience.

Africa: A Breakout Year in the Making

Africa is emerging as the most dynamic growth frontier of 2026.

Continental Momentum

• Sub-Saharan Africa growth: 4.4–4.6%

• IMF notes Africa will host more 6%+ growth economies than any other region.

 Standout Performers

• Ethiopia: ~7% growth

  • Revenue reforms

  • Sharp inflation decline

  • Financial inclusion expansion

• Rwanda & Uganda: 7%+

  • Infrastructure, services, and agriculture

• Nigeria: 4.4% (IMF upgrade)

  • Macroeconomic stabilization

  • Services expansion

  • New trade corridors

Nigeria–UAE Strategic Leap

A Comprehensive Economic Partnership Agreement (CEPA) signed with the UAE:

• Eliminates tariffs on 7,000+ Nigerian products

• Boosts exports, jobs, and industrial competitiveness

• Strengthens Africa–Gulf economic integration

🪙 Commodities With a New Narrative

Gold, cocoa, copper, and oil rebounds are:

• Stabilizing fiscal balances

• Funding infrastructure

• Supporting currencies in Zambia, Ghana, Mali, and Guinea

Africa is no longer growing despite global headwinds — it is growing because it has diversified away from them.

Latin America: Steady Expansion, Strategic Repositioning

Latin America’s outlook remains stable at ~2.1% growth in 2026 — modest, but resilient.

🇧🇷 🇦🇷 Market-Friendly Momentum

• Political shifts toward fiscal discipline and market reforms

• Renewed investor confidence across Argentina, Chile, and Peru

🔋 Critical Minerals Advantage

• Bolivia opens lithium reserves to private investment

• Brazil explores downstream processing for value capture

• Region positioned for AI, EV, and energy-transition demand

🇦🇷 Argentina: A Regional Bright Spot

• IMF projects ~4% growth in 2026–27

• Energy exports (Vaca Muerta) and stabilization reforms

• One of Latin America’s strongest medium-term performers

 The South-South Trade Revolution

According to UNCTAD (Jan 2026):

• 57% of developing-country exports now go to other developing economies

• South-South trade has expanded from $0.5T (1995) to $6.8T (2025)

This shift:

• Reduces exposure to Western slowdowns

• Strengthens regional value chains

• Acts as a buffer against tariff wars and protectionism

Emerging markets now account for ~45% of global GDP, nearly double their share in 2000.

📍 Davos 2026: The Global South Takes Center Stage

As the World Economic Forum opened, the narrative shifted decisively on January 19–20:

• India (Telangana) unveiled “Rising 2047”, positioning Hyderabad as a global AI hub

• Mercosur nations leveraged their new EU trade pact to attract green-tech investment

• Pakistan pitched Special Economic Zones as Eurasian trade gateways

• Global capital increasingly framed the Global South as the “stable alternative” amid Western trade tensions

Comparative Growth Snapshot (2026)

AI TV INFO’s Perspective

As of January 20, 2026, the evidence is unmistakable:

The Global South is no longer following the global economy — it is shaping it.

From Africa’s reform-driven acceleration to Asia’s AI-powered expansion and Latin America’s strategic repositioning, emerging economies are building durable, diversified growth models.

This is not a temporary rebound.
It is a structural shift.

At AI TV INFO, we track where momentum is real — not just where headlines are loud.

The future of global growth is being written in the South.

Coming Next:
AI TV INFO Analytics will release a country-by-country breakdown of the fastest-growing economies of 2026, including sector drivers, verified forecasts, and investment implications.

Stay tuned — the numbers may surprise you. 

🧠📺 AI TV INFO’s Channel Is Rewriting the economic narrative

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© AI TV INFO | Global Economics
Data compiled from IMF, and historical economic records. Interpretive analysis by AI TV INFO´s channel.

AI TV INFO is not an investment advisor, broker, or dealer.
The information presented in this report is for informational and educational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities or financial instruments.

All investing involves risk, in both developed and emerging markets. Regional political, economic, regulatory, and currency factors should be carefully considered.

To invest responsibly in these markets, it is recommended to identify a trustworthy partner with aligned long-term interests, who is successfully active on the ground in these regions and who does not rely on commissions or product sales for compensation. Independent alignment, local expertise, and transparency are critical when navigating opportunities in the Global South.