Mumbai, June 11 -- World Bank noted in its latest Global Economic Prospects update that in the United States, the announcement of trade policy changes did not provide much-needed clarity or reduce policy uncertainty, given the scale and scope of new tariffs, shifting timelines for their implementation, and fluid lists of exemptions. Furthermore, the implications of such large policy shifts, including potential steps that could be taken by other governments in response, remain highly unpredictable. As a result, U.S. growth is expected to decelerate sharply in 2025, to 1.4 percent.
In the euro area, the recent surge in policy uncertainty and financial volatility, as well as increases in tariffs on the European Union (EU), are set to prolong ...