Economists Warn Persistent Inflation Threatens Global Growth Amid Rising Tariff Pressures

Economists say inflation remains stubbornly high across major economies, according to a Reuters poll of leading analysts. They note price growth in food, energy and services continues above central bank targets, limiting consumer spending and slowing recovery.

Tariffs combined with the persistent inflation are raising the risk of a recession, analysts warn. Higher import duties on key commodities add cost pressure, while supply chain bottlenecks keep prices elevated, prompting policymakers to consider tighter fiscal measures.

Global outlook reports from the UN and S&P Global echo the poll, projecting slower growth for 2026 as inflation erodes real incomes. They advise governments to balance price stability with growth support, noting that prolonged high inflation could undermine investment and employment gains.

Policy makers in major economies are weighing interest‑rate adjustments and targeted subsidies to ease household burdens. Some central banks signal possible rate hikes if inflation does not ease, while others consider temporary relief programs for energy and food costs.