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    IMF Warns AI Reversal and Middle East War Threaten Emerging Markets

    The International Monetary Fund (IMF) warned on Oct. 16, 2026, that a reversal in artificial intelligence investment and the prolonged Middle East conflict pose growing threats to emerging-market growth and financial stability. IMF Managing Director Kristalina Georgieva said advanced-economy bond yields at multi-decade highs are raising the 'floor' for borrowing costs across the developing world.

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