Trump’s trade war could deepen the global slowdown, IMF warns

04/04/2019

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Heather Long | The Washington Post

The International Monetary Fund calls this a “delicate moment” for the global economy as many countries are in the midst of a slowdown. Resolving President Trump’s trade war and Brexit could go a long way toward preventing a deeper slowdown, the IMF said.

In 2017, Trump’s first year in office, 75 percent of the world economy experienced an upswing, a moment of synchronized prosperity that resulted in one of the best years in global growth since the world was coming out of the Great Recession. This year, the IMF expects 70 percent of the global economy to experience a slowdown.

The global economy has “lost further momentum” since January, said IMF Managing Director Christine Lagarde on Tuesday. “This is a delicate moment that requires us to ‘handle with care.’ This means that we must not only avoid policy missteps, but also be sure to take the right policy steps.”

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