Despite US 'Tariff Bomb'... IMF Chief Asserts 'No Recession'

JOON HYOUNG LEE

Summary

"Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), stated that a recession is not expected despite US trade policies."
"The IMF is set to release the World Economic Outlook (WEO) report next week, and while a downward adjustment is expected, it is not a recession."
"The global investment bank (IB) Hongkong and Shanghai Banking Corporation (HSBC) reported that it has revised this year's global economic growth rate forecast from 2.5% to 2.3%."

Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), stated that "a recession is not expected despite the global trade reboot led by the United States."

According to Bloomberg on the 17th (local time), Georgieva mentioned in her speech that "the protectionism spurred by President Donald Trump's tariff policies could shrink economic activities and hinder productivity." Georgieva also noted, "The new growth outlook to be announced will include significant downward adjustments, but it will not be a recession."

The IMF will release the World Economic Outlook (WEO) report next week. The World Trade Organization (WTO) predicted on the previous day (16th) that global merchandise trade would decrease by 0.2% this year due to the impact of US tariffs. The global investment bank (IB) Hongkong and Shanghai Banking Corporation (HSBC) recently revised its forecast for this year's global economic growth rate from 2.5% to 2.3%, a 0.2 percentage point downward adjustment.