Global economic forecasts remain subdued. The IMF’s October 2025 World Economic Outlook projects world growth slowing from 3.3% in 2024 to about 3.2% in 2025 and 3.1% in 2026, as advanced economies grow ~1.5% and emerging markets just above 4%. Inflation is easing globally but still above target in some countries (notably the U.S.), and downside risks persist from protectionism and policy uncertainty. In the U.S., Treasury Secretary Scott Bessent warned that a federal government shutdown (now in its third week) could cost the economy up to $15 billion per week in lost output, even as he touted a booming investment climate led by tech and AI (calling it “sustainable”). He noted that U.S. fiscal 2025’s deficit shrank slightly to about $1.817 trillion, and could fall toward the 3% of GDP range in coming years. Overall, policymakers worldwide are emphasizing cautious, transparent policy paths: for example, India’s central bank just signaled it has “room for future rate cuts” as inflation falls, while urging governments to rebuild buffers and focus on sustainable growth
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