IMF Predicts Global Economic Slowdown 

WORLD NEWS

By Aniket Chakraborty Apr 25, 2025 Arrow

The Euro area is expected to grow by just 0.8% in 2025, marking a sharp decline in economic performance.

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The US has enacted unpredictable tariff hikes, raising uncertainty in global trade and markets.

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April 2, 2025, saw the largest tariff increase in modern history, creating economic turbulence.

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A 90-day freeze on tariff hikes was introduced, adding to global market volatility.

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The IMF’s world trade uncertainty index is currently seven times higher than during the pandemic, amplifying financial risks.

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The unpredictability in tariffs is creating financial instability, with investors uncertain about future market conditions.

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Following tariff announcements, US bond prices fell, signaling a lack of confidence in US government debt as a safe asset.

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Tariffs are causing supply chain issues, reminiscent of the disruptions experienced during the COVID-19 pandemic.

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The current situation, driven by unpredictable trade policies, is generating instability in global markets, with potential long-term consequences.

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