U.S. Treasury Projects 3% GDP Growth in 2025 Amid Inflation and Policy Challenges
Treasury Secretary Scott Bessent forecasted a stronger U.S. economic performance in 2025, projecting a 3% real GDP growth by year-end despite various challenges including tariff increases and changes in immigration policy. Early in the year, the GDP showed fluctuations with a 0.6% contraction in the first quarter due to import surges anticipating tariffs, followed by a robust 3.8% growth in the second quarter which was influenced by decreased imports. Despite a federal government shutdown delaying third-quarter data releases, estimates indicate a 3.5% GDP increase for that period, suggesting an overall growth rate of about 2.2% for the first three quarters of the year.