Trade wars boost inflation and disrupt economic ties, the global lender has said<\/p>\n
IMF Managing Director Kristalina Georgieva has urged nations not to impose tariffs, following US President Donald Trump\u2019s latest measures
\nSpeaking at a press briefing on Thursday, Georgieva said,\u00a0\u201cthe largest economy in the world has chosen to use tariffs as an instrument in relations with partners.\u201d
\nThe IMF chief urged nations to adhere to \u201ctrade on the most favored nation rule,\u201d adding that imposing tariffs \u201cdoes not work well\u201d unless the nation has a \u201cvery large\u201d and \u201crelatively closed\u201d economy. She warned that nations which place tariffs on others will see prices rise domestically.
\n\u201cIf there is a flare-up of trade tensions, that would of course have a negative impact,\u201d Georgieva said, noting that the US and China are engaged in a trade war. \u201cThis is why we are saying: Please… do not do that. It is not a healthy action,\u201d she added.<\/p>\n
Read more<\/p>\n
US in \u2018trade war\u2019 with China \u2013 Trump<\/p>\n
Trump has introduced what he calls \u2018reciprocal tariffs\u2019 on dozens of nations he accused of \u201cripping off\u201d America through unfair trade practices. He recently imposed 50% tariffs on most imports from India and Brazil and has threatened China with an additional 100% starting next month.
\nThe US president has argued that some tariffs are meant to pressure India to halt its purchases of Russian oil and support sanctions on Moscow. On Thursday, however, the Indian Foreign Ministry denied Trump\u2019s claim that Prime Minister Narendra Modi assured him India would stop buying Russian oil.<\/p>\n","protected":false},"excerpt":{"rendered":"
Trade wars boost inflation and disrupt economic ties, the global lender has said IMF Managing Director Kristalina Georgieva has urged nations not to impose tariffs, following US President Donald Trump\u2019s…<\/p>\n","protected":false},"author":1,"featured_media":20605,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":[],"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[4,6,3],"tags":[],"class_list":["post-20604","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","category-environment","category-politics"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t