Citigroup Forecasts Slower Global Economic Growth Due to Tariffs – Coincu

Citigroup economists forecast that the global economic growth rate will decrease from 2.8% in 2024 to 2.3% in 2025 due to U.S. tariffs. This anticipated decline reflects the ongoing market evaluation by Citigroup.

The projections highlight potential effects on global markets, especially as tariff impacts may intensify in late 2025, influencing risk sentiment across financial sectors.

Citigroup’s 2025 Growth Forecast and Market Implications

Citigroup economists project a global growth slowdown from 2.8% in 2024 to 2.3% in 2025 due to gradual U.S. tariff implementations. The economic outlook, led by Chief Economist Nathan Sheets, anticipates full effects appearing in the latter half of 2025. Nathan Sheets, Chief Economist at Citigroup, stated, “Global growth resilience persists but we project a decline from 2.8% in 2024 to 2.3% in 2025 due to new U.S. tariff measures.“

Market analysts note that the potential downturn in growth could alter investment strategies and financial sentiment towards riskier assets, including cryptocurrencies. While no immediate asset shifts are observed, caution is advised as uncertainties persist.

Some financial sectors have reacted cautiously to these projections, though no direct responses have been made by key figures or leaders in the cryptocurrency industry. Nonetheless, stakeholders remain attentive to macroeconomic risks.

Trade Policy, Cryptocurrency Trends, and Regulatory Monitoring

Did you know? During the U.S.-China trade disputes of 2018-2019, global markets faced significant volatility, similar to current concerns, but cryptocurrencies like Bitcoin quickly rebounded as investors considered them alternative assets.

As of May 27, 2025, Bitcoin (BTC) trades at $110,140.80, with a market cap of formatNumber(2188572800809, 2) trillion and dominance of 63.07%. Over the last 30 days, BTC showed a price increase of 17.23%, according to CoinMarketCap.

Strong economic currents, heightened by U.S. trade policy, could engender uncertain market dynamics. The Coincu research team suggests increased monitoring of regulatory adaptations and blockchain technology shifts, which may significantly influence future financial landscapes. For additional global economic context, consider reviewing the World Bank’s Global Economic Prospects Report Overview.