The International Monetary Fund (IMF) recently released its October 2025 World Economic Outlook. While the report does not mention former President Trump specifically, it indirectly addresses the ongoing challenges his economic policies impose on the global economy. Critics have noted a noticeable decline in Australian tourists traveling to the United States, raising questions about the broader implications of U.S. economic decisions on international travel and relations.
Titled “Global Economy in Flux, Prospects Remain Dim,” the report expresses concerns about the current state of the U.S. economy, emphasizing that the full impact of Trump’s tariffs has yet to be comprehensively felt. These tariffs had initially generated significant apprehension but have so far produced a muted response from investors. The IMF reassessed U.S. economic growth forecasts, slightly adjusting its predictions upward from 1.8% to 2.0% and similarly revising Australia’s growth forecast from 1.6% to 1.8%. However, the overall uncertainty in trade remains exceptionally high compared to previous years.
The IMF attributes the relative resilience of both the U.S. and global economies to businesses anticipating the administration’s policies and adjusting their operations accordingly in advance. Notably, Australians are reportedly traveling overseas in higher numbers post-pandemic, with a significant decline in travel to the U.S.—about 10% fewer in August 2025 compared to the previous year. Over the past year, travelers from Australia to the U.S. decreased by 28%.
In a broader context, this decline is mirrored globally, with a forecasted decrease in international arrivals to the U.S. for 2025, highlighting a potentially significant shift in travel patterns. The IMF’s report underscores ongoing economic uncertainty while individuals, including Australians, appear uncertain about the attractiveness of traveling to the U.S. under current political and economic conditions.
Source: https://www.theguardian.com/business/grogonomics/2025/oct/16/usa-economy-trump-effect-imf-economic-outlook-australian-tourists-avoiding