IMF optimistic about US growth under Trump

(12 Feb 2017) The head of the International Monetary Fund said on Sunday that US President Donald Trump taking office is likely good for the US economy in the short term, though rising interest rates and a strengthening dollar will challenge global trade. Speaking at the World Government Summit in Dubai, Christine Lagarde said Trump's plans for additional investment in US infrastructure and his likely tax reforms will boost the US's economic fortunes. However, Lagarde acknowledged that Trump's policies likely will squeeze international markets. "That's a tightening that is going to be difficult on the global economy and for which economies have to prepare," Lagarde said. She defended globalisation and international trade at a time of growing protectionism in the US and elsewhere in the world. Lagarde also supported the Gulf countries' decision to introduce VAT starting in 2018. Find out more about AP Archive: http://www.aparchive.com/HowWeWork Twitter:   / ap_archive   Facebook:   / aparchives   ​​ Instagram:   / apnews   You can license this story through AP Archive: http://www.aparchive.com/metadata/you...