World Bank Cuts 2025 Global Growth Forecast | Economic Slowdown Alert
World Bank Slashes Global Growth Forecast for 2025
Date: June 13, 2025
🌍 Global Economic Slowdown Ahead
The World Bank has downgraded its global economic growth forecast for 2025 from 2.7% to 2.3%, citing rising trade tensions and policy uncertainty. This marks the slowest pace of growth outside of recessions since 2008.
🔻 Key Highlights:
- 70% of countries saw growth projections lowered, including the U.S., China, and major European economies.
- Global trade is expected to slow to just 1.8% in 2025, down from 3.4% in 2024.
- Inflation may remain elevated around 2.9% globally.
- The risk of a global recession remains under 10% for now.
📉 Impact on Developing Economies
Emerging markets are expected to grow at 3.8%, a downward revision. Countries relying on exports or foreign investment may face slower growth and increased debt burdens.
📢 World Bank's Recommendation
The report urges world leaders to reduce trade barriers and avoid protectionist policies. A rollback in tariffs could add about 0.2% to global growth over the next two years.
📊 Summary Table
| Metric | Forecast |
|---|---|
| Global GDP Growth (2025) | 2.3% |
| Trade Growth (2025) | 1.8% |
| Inflation (Global) | 2.9% |
| Recession Risk | Under 10% |
🔗 Source:
Reuters – World Bank Cuts Global Growth Forecast
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