US EditionIMF Cautiously Upgrades Global Economic Growth Forecast
BRAZIL, JUL 29 – The International Monetary Fund forecasts Brazil’s economy will expand by 3.7% in 2026, driven by strong domestic demand and investment, signaling robust growth prospects.
- On Tuesday, the IMF updated its outlook, anticipating a 3% increase in global economic growth for the year, supported by improvements in trade relations.
- This outlook follows recent U.S. tariff rollbacks, including new deals with the EU and Japan setting their rates at 15%, and an August 1 deadline for reciprocal tariffs excluding China.
- The IMF warned that elevated uncertainty tied to tariffs could weigh more heavily on economic activity, and it projected Brazil’s growth at 2.3% for 2025, down from 3.4% last year.
- Deputy Director Petya Koeva-Brooks stated additional tariffs could reduce Brazil’s GDP by 1.1 to 1.4 percentage points, with existing tariffs on steel and aluminum already factored in.
- The forecast suggests global growth could improve if trade negotiations produce a predictable framework and tariffs decline, but risks remain due to ongoing uncertainties.
30 Articles
30 Articles
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The International Monetary Fund boosted its global growth forecast to 3% for this year, up from 2.8% projected in April, citing less-than-anticipated damage from US President Donald Trump’s tariff regime, with a weaker dollar cushioning the blow on trading partners.The IMF’s chief economist, Pierre-Olivier Gourinchas, told the Financial Times that he saw a “tenuous resilience” in the world economy, adding that many of Trump’s duties were less se…
More tariffs on Brazil would mean steeper slowdown in activity, says IMF
(Reuters) -Additional U.S. tariffs on Brazil would lead to a steeper slowdown in activity than currently projected for the South American country's economy, a preliminary assessment by the International Monetary Fund showed.
Potential Economic Slowdown: The Impact of U.S. Tariffs on Brazil
The International Monetary Fund warns that additional U.S. tariffs on Brazil could result in a more significant slowdown in Brazil's economic activity than previously anticipated. While some tariffs are already impacting the economy, the IMF's preliminary assessment suggests further tariffs could substantially hinder growth.
Despite the uncertainty caused by the tariffs put in place by Donald Trump, the world economy seems to be resisting, and doing better than expected three months ago, according to the publication on Tuesday of the IMF's latest growth forecasts.
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