Kristalina Georgieva

Too early to say what exactly the impacts of new trade tensions is, but we know that when we have more uncertainty, bad for business, bad for households.

The best way forward...

find a path to agreement.

And that is going to be good for everybody, everywhere.

Because since the spring meetings...

We have seen the world economy being quite resilient and, very important, we have seen countries acting responsibly towards their own interests and the interests of the world.

Let me unpack this.

We have upgraded our growth projections since April.

Why?

Because performance across the world is quite strong.

Why is it strong?

Because the tariff shock from the United States

is not as dramatic as we feared in April.

In April, if you recall, the announced tariffs were 23%.

Today, US tariffs nominally 17.5%, but what is being collected is somewhere around 9%.

So smaller shock from the US.

Two, what did the rest of the world do?

With the exception of China and initially Canada,

that retaliated against the United States, the rest of the world said, not it for that.

We are not going to engage in retaliatory action.