The World Bank forecasts global growth of 2.7% in 2025 and 2026, unchanged from 2024

• The World Bank forecasts global growth of 2.7% in 2025 and 2026, unchanged from 2.7% in 2024.
• Developing economies are expected to grow by 4% in 2025-2026, but face the lowest long-term growth since 2000.
• The global economy is facing headwinds from trade policy shifts, heightened uncertainty, geopolitical tensions, climate change, and inflation.
• Simulations show a 10-point hike in U.S. tariffs could cut global growth by 0.3 points if other nations retaliate.
• A 10-point U.S. tariff hike would reduce U.S. GDP by 0.4%, and by 0.9% if trading partners retaliate.

This article was written by Greg Michalowski at www.forexlive.com.