Uncertainty has taken off, the IMF released the global economy warning

JAKARTA – International currency funds (IMF) argue that the global economy is expected to grow more slowly this year and is faced with higher inflation. This was caused by global trade disorders and increased protectionism.

The mutual tariff charged by US President Donald Trump, which, according to him, is focused on the priorities of domestic production and repeated agreements on trade agreements that benefited the United States, caused sharp cracks in trading partners, including the European Union (EU) and China.

The implementation of the IMF Director Crystalin Georgiviv calls for urgent reform and resumes global cooperation when he considers reports on the prospects of the world economy that came from the IMF.

“Financial volatility increases sharply, and the uncertainty of expensive trading politicians is indeed outside the schedule,” said Georgiva, according to Russia Today, quoted on Sunday (04/20/2025), referring to the IMF data, which showed a sharp increase in global uncertainty.

Georgiev added that the effective US tariff jumped to the last level seen some time ago. Although the name Trump was not mentioned in it, the increase in tariffs came from the mass of the mass steps taken by the US government.

This includes a 10% tariff for all imports and a much higher rate for Chinese goods, where some products face a rate of 145%. In response, China answered, having removed duties for all US imports from 84% to 125%.

The statement by Georgiva this week caused fears voiced by other economic leaders, including the leaders of the Federal Reserve and World Bank, which warned the adverse consequences of Trump’s trade policy. Last Thursday (4/17), the European Central Bank reduced interest rates due to “prospects for worsening growth” from an increase in trade tension.

Earlier this week, the Frenchman Francois Bayru said that Trump began the global trade war “without warning” and criticized her for attacking both competitors and allies with tariffs who injured cooperation for decades.

Other EU leaders also warned that tariffs are damaged by world trade and threaten economic stability. The President of the European Commission Ursula von der Lein called the step the main blow. While the prime minister of Spain Pedro Sanchez condemned the tariff, not smart, and the Polish Prime Minister Donald Tusk called him unnecessary and stupid action.

On Friday (18/4), Trump confirmed his institution during a meeting with the Prime Minister of the Italian Prime Minister Georgia Melony, saying that he was in no hurry to complete the trading agreement. Trump believes that tariff policy will bring significant income for the United States.

(Fjo)