But it warned that the outlook is clouded by President-elect Donald Trump’s promises to slash U.S. taxes, impose tariffs on foreign goods, ease regulations on businesses and deport millions of immigrants working illegally in the United States.

Global growth is expected to increase slightly this year while remaining stuck below its pre-pandemic average, the IMF said Friday, flagging the growing economic divide between the United States and European countries.

Donald Trump’s plans for higher tariffs, lower taxes and curbs on immigration risk reviving inflation and preventing the Federal Reserve from cutting interest rates, the IMF has warned. Unveiling forecasts that predicted faster-than-expected growth for the US economy,

Donald Trump's economic plans risk reigniting US inflation, International Monetary Fund (IMF) chief economist Pierre-Olivier Gourinchas told AFP, a few days before the president-elect returns to the White House.

The International Monetary Fund has warned that US economic policies under incoming president Donald Trump could hit the rest of the world and ultimately backfire on the US. The IMF says a threatened wave of tariffs could make trade tensions worse,