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The freight shipping containers are loaded with cranes on containers-containers at the Burchardkai container terminal at the port of Hamburg, in northern Germany on June 3, 2025.
Fabian Bimmer | AFP | Getty images
The World Bank has greatly reduced its global economic growth projections on Tuesday, citing the disturbances of commercial uncertainty in particular.
It now expects the world economy to extend 2.3% in 2025, down compared to a previous forecast of 2.7%.
“This would mark the slowest rate of global growth since 2008, apart from pure and simple global recessions,” the bank said in its report on global economic prospects.
Commercial uncertainty, in particular, has weighed on perspectives, suggested the World Bank.
“International Discord – on trade, in particular – has upset many political certainties that helped reduce extreme poverty and extend prosperity after the end of the Second World War,” said Indermit Gill, main vice -president and chief economist of the World Bank, in the report.
It also reduced its growth forecasts by 2025 for the United States by 0.9 percentage points to 1.4% and reduced its EURO GDP expectations by 0.3 percentage point to 0.7%.
The bank noted that an escalation of trade tensions could push even lower growth, but the image could improve if the major savings grouped trade agreements.
“Our analysis suggests that if today’s commercial disputes were resolved with agreements that tariffs are compared to their levels at the end of May 2025, global growth could be stronger by around 0.2 percentage points on average in 2025 and 2026,” said Gill.
The United States and many of its business partners are currently under negotiations after US President Donald Trump Steep prices imposed on many countries in April. This week, for example, the United States and China come together in London after the two countries agreed to temporarily reduce samples After the discussions in May.
Negotiations are also still underway between the United States and the European Union with Less than a month old To go before previously announced prices should come into force.
By reducing its expectations of global growth, the World Bank follows various other organizations, in particular the organization of economic cooperation and development, which also cited the repercussions of trade and uncertainty linked to prices as a key factor.
The OECD said earlier this month that it expected world growth to slow down to 2.9% in 2025, also warning its forecasts with the potential for future tariff developments. He had previously planned global growth of 3.1% this year.
