NewStats: 3,263,938 , 8,181,977 topics. Date: Sunday, 08 June 2025 at 09:05 PM 2v3f71

The world economy could contract by the size of the combined French and German economies, if there is a broad-based trade war between the world’s major economies, the International Monetary Fund (IMF) has told the BBC.

It comes as concerns are heightened ahead of the possible re-election of Donald Trump.

Trump says he plans to introduce a universal tax or tariff of up to 20% on all imports into the US, while the European Union is already planning retaliation if Washington goes ahead with the new levy.

Last week, Trump said “tariff is the most beautiful word in the dictionary”, and global markets and finance ministers are now beginning to take seriously the prospect of him enacting the ideas.


IMF Deputy Managing Director Gita Gopinath said the Fund could not yet assess the specifics of Trump's trade plans, but thinks that “if you have some very serious decoupling and broad scale use of tariffs, you could end up with a loss to world GDP of close to 7%".

"These are very large numbers, 7% is basically losing the French and German economies. That's the size of the loss that would be," she continued.

Ms Gopinath also said tariffs worth hundreds of billions of dollars “is very different from the world we’ve lived in over the past two of three decades”.

The IMF’s deputy chief said another of the Fund’s main messages at its Annual Meetings was to warn on ballooning levels of global government debt.

She said the current period of steady economic growth was a “moment to rebuild your fiscal buffers” as “this will not be the last crisis. There will be additional shocks. You will need the fiscal space to respond. And now is the time to do it”.

Ms Gopinath said it was also necessary to “look at the bright side” with a resilient world economy after “some very tough knocks”.

She suggested the world economy had seen a soft landing from the multiple crises.

“Past experiences with bringing down inflation have not been with a soft landing. It was a big, big increases in unemployment. So that was a big hit, and it has turned out to be much better than many feared”, she said.

Ms Gopinath added that it was a “good win” for central banks everywhere that inflation has come down without high unemployment. But that now was the time to rebuild resilience in a fragile world.

https://www.bbc.com/news/articles/c1lg5reqlpyo.amp

This warning should be directed to the architect of all wars, the US!!!!

World war already on

Nonsense!!! So that you can continue to manipulate weaker Countries.
A Multi-Polar World we are heading to

But let's be practical here - How can a country or region be at war with another country/region and yet transact trade from within ? It's like founding/empowering your enemy against your very self.

The world is already at war. Arms war, trade war, sports war, ecological war, etc

that Bric currency is really making US jittery

but Bric is DOA

America could end up losing in all of these but let’s wait and see, we’re merely pawns in the grand scheme of things, little wonder other countries are forming economic alliances to check this crapshoot

This is what APC have been imposing on hapless Nigerians since 2015

Now see the results

Soon as Putin showed off the BRICS currency, the world was definitely waiting for a word from you

b0rn2fuck:
World war already on

why can't the world embrace peace.... what are they all fighting for.... even if another country emerges as world power, what will be their benefit... what is the essence. For me the US as the world power is doing well...

Alright

The world has faced a new direction and nothing can turn her away. A new World Order is here and the outcome of the US elections will greatly determine the future of the world.

BRICS currency 😆😆😆😆😆😂

jUeLiZ:
why can't the world embrace peace.... what are they all fighting for.... even if another country emerges as world power, what will be their benefit... what is the essence. For me the US as the world power is doing well...

selfish leaders that want to sacrifice their people,just because they want to test their strength

This is targeted at BRICS+ which is meeting in Russia, western sanctions no longer have impact on countries like Russia because EU economy is shrinking, Nigeria has no dog in this fight as our economy is already under the control of IMF and World Bank

jUeLiZ:
why can't the world embrace peace.... what are they all fighting for.... even if another country emerges as world power, what will be their benefit... what is the essence. For me the US as the world power is doing well...

The US and West got it wrong when they wanted to impose Homosexuality on Nations. They did that with Democracy and received little opposition but it seems Homosexuality is clashing with Culture and Morals of so many Countries.

Let's not talk about the Unilateral sanctions US is imposing on Weak Nations.
The Human mind is born to be free. If you keep oppressing a person, it will only take time for the person to revolt, that's what's happening

Donald Trump na weyrey Sha. Which one be "Tariff is the most beautiful Word in the Dictionary".

Jagaban don de deal with the whole world small small. He don expose dollar secret to world powers. . After this hardship Naira go supercede dollar.
I know I may have ruffled some feathers, but critics are welcomed. Nigeria will be great again in this our lifetime.

Check my signature for affordable phones.

I hope Nigerian government now see how foolish they are taking advice from IMF.

Dem no wish you well.

Fair Competition is good and healthy!

Emu4life:


The US and West got it wrong when they wanted to impose Homosexuality on Nations. They did that with Democracy and received little opposition but it seems Homosexuality is clashing with Culture and Morals of so many Countries.

Let's not talk about the Unilateral sanctions US is imposing on Weak Nations.
The Human mind is born to be free. If you keep oppressing a person, it will only take time for the person to revolt, that's what's happening

But Russia was also sanctioned and Russia is not a weak Nation. The truth is that someone has to be the boss, to police and instill discipline if not everyone will just be behaving anyhow. I don't like the US idea of imposing homosexuality on nation....but this global unrest will affect the world economy and it will affect us all.

everybody is fighting for their own interests

Trade war has always been in existence even before majority of you were born, the only thing that can happen is just to meddle into the people who are involved in such...

Even in Nigeria, there are alot of trade war current going on, so it is normal

Emu4life:
Nonsense!!! So that you can continue to manipulate weaker Countries.
A Multi-Polar World we are heading to

IMF don't wish us well.

I see a divine hand in the re-election of Donald Trump. His second coming will bring a major orderliness to the world and a serious pain in the ass of the unGodly people.

The greatest downfall of many African countries, especially Nigeria, is their engagement with the IMF and World Bank. These financial institutions act as agents of imperialism, with the primary goal of exploiting vulnerable nations.

Lol

Kill me physically, at least there is hope, I might meet the 72 virgins, but you see this economic war, it is more devastating than 10 nuclear bombs dropped simultaneously.

jUeLiZ:
why can't the world embrace peace.... what are they all fighting for.... even if another country emerges as world power, what will be their benefit... what is the essence. For me the US as the world power is doing well...

Peace is impossible in a world where dominance reigns supremem, Even NL is not embracing peace.

Trump is pro America and he doesn't care whose ox is gored.
Tinubu is pro IMF and the elite and he doesn't care if the masses go to hell.

Here we go again

jUeLiZ:
But Russia was also sanctioned and Russia is not a weak Nation. The truth is that someone has to be the boss, to police and instill discipline if not everyone will just be behaving anyhow. I don't like the US idea of imposing homosexuality on nation....but this global unrest will affect the world economy and it will affect us all.

Why I will agree with your idea of somehow being the boss, but the moment the boss is not being fair and just, then the whole things become a facade.

Justice must be served to everyone even the law is against the boss himself. Can you tell me how many times US chides herself or Isreal or any other western countries if they act against the law? None! That's why everyone want to be from their hegemony.