At the conclusion of the International Monetary Fund (IMF) and World Bank Spring Meetings on April 25, 2025, the IMF's policy steering committee expressed significant concerns over escalating global trade tensions. The committee emphasized that these tensions are adversely affecting economic growth, increasing market volatility, and posing threats to financial stability.

The committee highlighted that protectionist trade policies, particularly those implemented by the United States, are key drivers behind the IMF's downward revision of global growth projections to 2.8% for 2025. This development underscores the urgent need for international cooperation to address trade disputes and their far-reaching economic implications.

The IMF's concerns are set against a backdrop of aggressive trade policies implemented by U.S. President Donald Trump. These policies include imposing a 10% import duty on most countries, excluding China, Mexico, and Canada. Such measures have disrupted the global trade system and hindered economic growth, leading the IMF to downgrade its 2025 global growth forecast to 2.8%.

Saudi Finance Minister Mohammed Al-Jadaan, chairing the committee, stressed the necessity of promoting trade, managing global debt vulnerabilities—especially among low-income countries—and maintaining open dialogue. IMF Managing Director Kristalina Georgieva acknowledged that geopolitical tensions are diverting attention from critical issues like artificial intelligence but praised the productive discussions and international cooperation observed during the meetings.

The IMF's policy steering committee's recent statements serve as a stark reminder of the interconnectedness of global economies and the necessity for collaborative efforts to resolve trade disputes. As protectionist policies continue to pose risks, the role of international institutions like the IMF becomes increasingly vital in steering the global economy toward stability and growth.