Summary
The International Monetary Fund (IMF) reports that the global economy will grow more slowly in the future, despite some positive changes in tariffs. The IMF is concerned that the benefits of artificial intelligence (AI) investments may not offset these slowdowns. They also predict a slight increase in U.S. economic growth due to AI and tariff changes.
Key Facts
- The IMF predicts global economic growth of 3.2% in 2025 and 3.1% in 2026.
- These growth rates are slightly better than those projected in July but lower than last year's estimates.
- U.S. economic growth is expected to be 2% in 2025, which is slower than the previous year's growth rate.
- AI investments and lower tariffs in the U.S. have slightly improved economic growth.
- The IMF warns about the risks of an AI investment bubble, which could harm the economy if it bursts.
- Reducing tariffs to pre-Trump levels could boost global growth by about 0.3 percentage points.
- Renewed U.S.-China trade tensions, with potential new tariffs, pose a risk to global trade.
