The International Monetary Fund boosted its global growth forecast to 3% for this year, up from 2.8% projected in April, citing less-than-anticipated damage from US President Donald Trump’s tariff regime, with a weaker dollar cushioning the blow on trading partners.
The IMF’s chief economist, Pierre-Olivier Gourinchas, told the Financial Times that he saw a “tenuous resilience” in the world economy, adding that many of Trump’s duties were less severe than he had previously vowed.
However, Gourinchas cautioned that the world economy still remains vulnerable to trade shocks, citing a “precarious” environment, as Washington’s deadline of tariff reprieves for several countries expires this Friday.
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