A resilient world economy will endure US President Donald Trump’s shocks to the global trading system this year thanks to the AI investment boom, the IMF forecast Monday.
“The global economy is… coming out ahead of what we were expecting” before “Liberation Day,” the IMF’s chief economist said.
Even as the organization raised its GDP growth estimates, it warned that risks are “tilted to the downside”: Growth is reliant on a narrow range of sectors, and a bursting AI bubble could destroy the gains of the last year.
The IMF is also watching how the US Supreme Court rules on Trump’s tariff salvo, a decision that could come this week and threatens to inject more uncertainty into global commerce.
