KEY TAKEAWAYS
\nThe OECD on Tuesday raised its growth forecast for the U.S. economy in 2025 on the back of AI investments, but noted that tariffs and lower net immigration are taking a toll and would lead to slowing growth next year.The OECD said it expects the U.S.’s annual real GDP growth rate to come in at 1.8% in 2025, up from from its previous projection of 1.6%.However, U.S. GDP is projected to grow by just 1.5% next year, the OECD said.<\/p>\n
The Organisation for Economic Co-operation and Development on Tuesday raised its growth forecast for the U.S. economy in 2025 on the back of investing around the AI boom, but noted that tariffs<\/a> and lower net immigration<\/a> are taking a toll and would lead to slowing growth next year.\n<\/p>\n The OECD<\/a> said it expects the U.S.’s annual real gross domestic product<\/a> growth rate to come in at 1.8% in 2025, up from its 1.6% projection in June<\/a>. That is, however, well below the 2.8% GDP growth registered in 2024.\u00a0 U.S. GDP is projected to rise by just 1.5% next year.\n<\/p>\n “Strong AI-related investment boosted outcomes in the United States,” the Paris-based body said, but also noted that GDP growth is falling from 2024 as “strong investment growth in high technology sectors is more than offset by higher tariff rates and a drop in net immigration.”\n<\/p>\n