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IMF Flags US Tariffs as ‘Significant Risk’ to Global Economic Stability

WASHINGTON: Kristalina Georgieva, the IMF chief, on Thursday stated that the latest US tariffs “clearly represent a significant risk to the global outlook” and called on Washington to cooperate with its trade allies.

This marked her first statement following President Donald Trump’s recent round of global tariffs, which have escalated the trade conflict that many fear could push the world towards recession and drive up inflation. Georgieva noted that the tariffs pose “a significant risk to the global outlook at a time of sluggish growth.”

She further stressed the need to “avoid steps that could further harm the world economy.”

“We appeal to the United States and its trading partners to work constructively to resolve trade tensions and reduce uncertainty,” she said.

In January, the Washington-based body projected global growth for the year at 3.3 percent — below the 3.7 percent average growth recorded during the first two decades of the 21st century.

The IMF is scheduled to release its updated outlook later this month ahead of the Spring Meetings in Washington, where the sweeping US tariff measures will be a key focus.

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