IMF Chief Urges Quick Resolution Amid Trump's Tariff Turmoil

The head of the IMF has urged swift resolution of trade disputes threatening global economic growth. Kristalina Georgieva warns of investment delays and recession risks due to US tariff policies. She highlights the adverse impact on poor countries unable to mitigate economic damage.

The International Monetary Fund's managing director, Kristalina Georgieva, has called on nations to quickly resolve trade conflicts that are threatening the global economy.

Georgieva noted that President Trump's aggressive tariff strategies are causing companies to delay investments and consumers to reduce spending amidst growing unpredictability.

This unpredictability, Georgieva emphasized during the IMF-World Bank spring meetings, is detrimental to business. Her remarks followed the IMF's recent downgrade of global growth and recession forecasts, with the US economy facing heightened recession risks.

Georgieva warned that the economic impact of these trade disputes would most severely affect poorer countries lacking fiscal buffers.

Trump's imposition of tariffs, particularly high on Chinese imports, has deviated from a longstanding US commitment to free trade, causing financial volatility. However, market sentiments improved after talks of potential tariff reduction emerged.

(With inputs from agencies.)