IMF Welcomes Trump-Xi Dialogue, Says Easing Tensions Benefits Global Economy
The International Monetary Fund (IMF) today welcomed the initial and positive dialogue between U.S. President Trump and Chinese President Xi Jinping, adding that reducing tensions and uncertainty between the world's top two economies is beneficial for the world.
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(Central News Agency, Washington, 14th, Comprehensive Foreign Report) The International Monetary Fund (IMF) today stated it welcomes the initial and positive dialogue between U.S. President Donald Trump and Chinese President Xi Jinping, adding that reducing tensions and uncertainty between the world's top two economies is beneficial for the world.
When asked about the preliminary results of the Trump-Xi meeting in Beijing, IMF spokesperson Julie Kozack said at a press briefing: "Certainly, it is very important for the world's two largest economies to engage at the highest level."
Kozack added: "We do welcome the constructive dialogue between the two countries. Any steps that help to mitigate trade tensions and reduce uncertainty are good for these two economies and certainly good for the global economy."
Reuters reported that the IMF has long urged the United States and China to resolve their trade differences through dialogue rather than unilateral measures.
In Beijing today, at the opening of a two-day summit, Xi warned Trump that mishandling differences on Taiwan-related issues could push U.S.-China relations into a "very dangerous situation."
But a year after Trump imposed high tariffs on Chinese goods and Xi's retaliation nearly collapsed all U.S.-China trade, the two leaders' discussions on trade and investment became more positive.
Trump, in an interview with Sean Hannity on Fox News Channel, said that China had agreed to order 200 Boeing passenger aircraft. U.S. Treasury Secretary Scott Bessent told CNBC that the two sides also discussed deals for U.S. energy and agricultural products, as well as establishing a bilateral trade and investment body for non-strategic sectors.
Kozack said that due to pressure from the war in the Middle East and crude oil prices remaining above $100 per barrel due to Iran's closure of the Strait of Hormuz, the global economy is clearly heading towards the middle of three economic scenarios outlined in the IMF's April "World Economic Outlook."
The IMF's middle "downside scenario" predicts that global real GDP growth will fall to 2.5% this year from 3.4% in 2025, while the more optimistic "baseline forecast," which assumes a swift end to the conflict, projects 3.1% growth.
This downside scenario assumes oil prices at $100 per barrel for the full year, but also assumes tighter financial conditions and rising inflation expectations.
Kozack said that although higher energy prices have pushed up expectations for short-term price increases, the IMF believes that medium-term inflation expectations remain stable. She noted that financial conditions in the global economy remain "accommodative." (Compiled by: Li Pei-shan) 1150515
When asked about the preliminary results of the Trump-Xi meeting in Beijing, IMF spokesperson Julie Kozack said at a press briefing: "Certainly, it is very important for the world's two largest economies to engage at the highest level."
Kozack added: "We do welcome the constructive dialogue between the two countries. Any steps that help to mitigate trade tensions and reduce uncertainty are good for these two economies and certainly good for the global economy."
Reuters reported that the IMF has long urged the United States and China to resolve their trade differences through dialogue rather than unilateral measures.
In Beijing today, at the opening of a two-day summit, Xi warned Trump that mishandling differences on Taiwan-related issues could push U.S.-China relations into a "very dangerous situation."
But a year after Trump imposed high tariffs on Chinese goods and Xi's retaliation nearly collapsed all U.S.-China trade, the two leaders' discussions on trade and investment became more positive.
Trump, in an interview with Sean Hannity on Fox News Channel, said that China had agreed to order 200 Boeing passenger aircraft. U.S. Treasury Secretary Scott Bessent told CNBC that the two sides also discussed deals for U.S. energy and agricultural products, as well as establishing a bilateral trade and investment body for non-strategic sectors.
Kozack said that due to pressure from the war in the Middle East and crude oil prices remaining above $100 per barrel due to Iran's closure of the Strait of Hormuz, the global economy is clearly heading towards the middle of three economic scenarios outlined in the IMF's April "World Economic Outlook."
The IMF's middle "downside scenario" predicts that global real GDP growth will fall to 2.5% this year from 3.4% in 2025, while the more optimistic "baseline forecast," which assumes a swift end to the conflict, projects 3.1% growth.
This downside scenario assumes oil prices at $100 per barrel for the full year, but also assumes tighter financial conditions and rising inflation expectations.
Kozack said that although higher energy prices have pushed up expectations for short-term price increases, the IMF believes that medium-term inflation expectations remain stable. She noted that financial conditions in the global economy remain "accommodative." (Compiled by: Li Pei-shan) 1150515