Treasury Secretary Predicts Economic Boom with Trump Policies

U.S. Treasury Secretary Scott Bessent forecasts that Trump’s tariff, tax cut, and deregulation measures could boost U.S. growth to 3% by next year, aiding in reducing budget deficits. Despite recent GDP contraction and a 1.8% growth forecast by the IMF, Bessent remains optimistic.

U.S. Treasury Secretary Scott Bessent expressed optimism on Monday regarding the impact of President Donald Trump's economic policies. He stated that the strategic implementation of tariffs, tax cuts, and deregulation could potentially elevate U.S. economic growth to 3% by the same time next year.

Bessent made these remarks during a live CNBC interview at the Milken Institute Global Conference. He suggested that the permanence of the tax reforms could shift growth towards the 3% mark, despite recent economic contractions and lower growth forecasts from the IMF.

The first quarter saw a contraction in the U.S. economy amidst efforts by companies to circumvent Trump's tariffs. Although the International Monetary Fund predicts only a 1.8% GDP growth by 2025, Bessent remains hopeful about reaching his growth target by the following year.

(With inputs from agencies.)