Back

Fitch Revises Global GDP Growth Forecast to 2.4% for 2025

The agency highlights U.S. economic slowdown and labor market weakness, anticipating rate cuts by the Federal Reserve in the coming months.

Summary

Fitch revised its global GDP growth forecast to 2.4% for 2025 and 2.3% for 2026, citing slowing U.S. economic activity and labor market weakness. The agency expects the Federal Reserve to implement 25 basis point rate cuts in September and December, with three additional cuts next year.

Terms & Concepts
  • GDP Growth Forecast: An estimate of the rate at which the economy is expected to grow, measured by changes in Gross Domestic Product (GDP) over time.
  • Federal Reserve Rate Cuts: A reduction in the interest rates set by the U.S. Federal Reserve, typically to stimulate economic activity during periods of slow growth or recession.