In its world economic outlook, the IMF lifted its U.S. growth estimate for 2025 to 1.9% and the 2026 forecast to 2%. That’s an increase of one-tenth of a percent this year and three-tenths of a percent next year. Tax incentives for corporate investment in the recent tax bill will also push growth slightly higher next year, the IMF said.

The U.S.-based International Monetary Fund says global economic growth will be better than expected despite a slowdown in the U.S. economy over fluctuating tariffs imposed by President Donald Trump.