Ratings agency Moody's has sharply lowered its global growth forecast as a result of tariff increases on countries and higher sectoral tariffs on products such as steel and aluminum. Moody's warned that tariffs would negatively impact global trade and investment decisions, with significant negative consequences for the growth of most G20 economies.
The agency cut its global economic growth forecast to 1.9 percent in 2025 and 2.3 percent in 2026. Moody's expects the tariffs to lower U.S. growth by at least 1 percent and significantly raise prices for U.S. consumers and businesses. Moody's has also significantly lowered its growth estimates in a number of G20 economies, including Canada, Mexico, Germany, France, Italy, the United Kingdom, Australia, Korea, Japan, India, Indonesia and South Africa.
Source (Al-Arabiya.net Website, Edited)
