Global economy faces recessionary path, UN says

Global economic growth is projected to slow to 2.3% in 2025, down from 2.8% in 2024, placing the world on a recessionary path, the UN Conference on Trade and Development (UNCTAD) said on Wednesday. The agency cited heightened trade tensions and policy uncertainty, particularly after US President Donald Trump imposed steep tariffs, including a 145% levy on China. While some duties were paused, UNCTAD warned that continued trade restrictions risk disrupting global supply chains and weakening investment. The report said the outlook is the most uncertain in decades, prompting businesses to delay hiring and capital expenditure. Fears of a US recession are mounting, with markets rattled by shifting tariff policies. UNCTAD urged the US to exclude smaller, poorer economies from punitive trade measures.