Global Digital Economy Set to Reach $28 Trillion in 2026, Saudi-Led DCO Report Forecasts
The global digital economy is projected to swell to an estimated $28 trillion in 2026, accounting for roughly 22 percent of world GDP, according to the Digital Economy Trends 2026 report released by the Digital Cooperation Organization (DCO) at the Development Finance Conference MOMENTUM in Riyadh.
The DCO — a Riyadh-based multilateral organisation aimed at accelerating digital growth and cooperation across countries — drew on survey responses from more than 400 policymakers, economists, and technology leaders spanning 26 nations to formulate the outlook.
Rapid Growth Outpacing Global Economy
The report forecasts the digital economy will expand by about 9.5 percent in 2026, a pace three times faster than the broader global economic growth rate. This uptick underscores digitalisation’s accelerating role in shaping industries, government services, and societal interaction worldwide.
DCO Secretary-General Deemah AlYahya emphasised that while technological advances are transforming economic prospects, inclusive access and responsible governance will be critical to ensure the benefits extend across societies. “The future of the digital economy will be defined not by the speed of innovation, but by how inclusively it is built,” she said.
Key Trends to Watch in 2026
The Digital Economy Trends 2026 report identifies 18 major forces expected to reshape the global digital landscape next year. Among the trends highlighted:
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End-to-End Cybersecurity: With rising cyber threats, strengthening resilience and secure digital infrastructure ranks among the highest priorities.
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Ambient Intelligence: The spread of AI-enabled, context-aware systems — from smart homes to connected public services — will deepen digital integration in daily life.
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Converging Frontier Technologies: Advancements in AI, robotics, spatial computing, and biotechnology are poised to deliver transformative economic and social outcomes over the next three to five years.
The report also highlights the potential economic value from specific digital domains, including $4.91 trillion from AI-led workforce transformation, $4.14 trillion from immersive hybrid technologies, and more than $3 trillion associated with digital trade and cybersecurity enhancements.
Implications for Policy and Investment
The DCO’s findings offer a roadmap for governments, businesses, and international partners to prioritise digital strategy, regulatory frameworks, and investment decisions to harness growth opportunities. The report is intended to complement the Digital Economy Navigator, the organisation’s diagnostic tool for assessing national digital readiness.
As digital adoption accelerates across regions and sectors, the emphasis on inclusive, secure, and sustainable growth reflects broader global concerns about inequality, governance, and the societal impact of technology.
