ECB De Guindos: Inflation Situation Is Favorable; Heightened Geopolitical Tensions Significantly Increase Growth Downside Risks
Global Economic Landscape in Flux
The world economy is undergoing significant changes amid growing unpredictability. Over the past year, major developments—particularly shifts in US policies and the weakening of the long-standing multilateral, rules-based framework—have reshaped the international economic scene. The imposition of hefty tariffs on US-bound goods has disrupted established trade patterns, undermined business confidence, and sent shockwaves through various economies. Meanwhile, geopolitical tensions continue to run high. This transition to a new global order, where the rule of law is increasingly questioned, signals deep and lasting changes.
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