The IMF has stated that President Trump’s tariffs will slow economic growth in some countries but will not lead to a global recession, with notable markdowns to growth forecasts expected. The tariffs have caused trade policy uncertainty, affecting inflation rates differently across regions, and leading to unusual market activities, including sell-offs in the dollar and US government debt. Kristalina Georgieva noted that these challenges stem from higher public debt levels post-COVID-19 and a growing focus on national interests over global concerns.
