IMF forecasts global slowdown, warns of rising risks to financial stability following Trump tariffs

The International Monetary Fund (IMF) has revised its global economic growth projections downward, citing rising risks to the global economy. According to the IMF, the global economy is expected to grow by 2.8% in 2025, down from 3.0% in January. The decline in growth prospects is attributed to the ongoing trade tensions and the potential for a "sharp repricing of risk assets" as a result of the trade war between the US and the rest of the world. The IMF has also warned of the potential for a global financial crisis and has urged regulators to be on high alert. The growth prospect for the world economy is now the weakest since the COVID-19 pandemic.