The world economy has proven surprisingly durable in the face of President Donald Trump’s trade wars, the Organization for Economic Cooperation and Development said Tuesday, upgrading its outlook for global and U.S. economic growth this year.

The global economy, which has proved surprisingly resilient this year, is expected to falter next year under the strain of wars, still-elevated inflation and continued high interest rates.

The Organization for Economic Cooperation and Development says Russia’s war in Ukraine and the lingering effects of the COVID-19 pandemic are dragging down global economic growth more than expected and driving up inflation that will stay high into next year.

The new head of the Organization for Economic Cooperation and Development says he is “quietly optimistic” about reaching an international deal on taxing multinational companies.

FILE - In this Aug. 8, 2017, file photo, Australian Finance Minister Mathias Cormann addresses reporters at Parliament House in Canberra, Australia. The Organisation for Economic Co-operation and Development, the OECD, said Monday it has appointed Australian former Finance Minister Mathias Cormann as its head - despite objections over his climate record. (AP Photo/Rod McGuirk, File)PARIS – The Organisation for Economic Co-operation and Development said Monday that it has appointed a former Australian finance minister, Mathias Cormann, as its head. The appointment of Cormann as the OECD's new secretary general comes despite objections over his climate record. He became Australia’s longest-serving finance minister, a job he held from 2013 to 2020.