In an interview, Ayhan Kose said the global economy has shown unexpected resilience in the face of a series of shocks, with the U.S. recording another year of surprisingly strong growth.
The deputy chief economist said that record raises the possibility that the rate of potential growth—or the pace at which output can grow using all available resources but without stoking inflation—may be higher than currently estimated.
“We need to increasingly think whether the economy’s potential growth has been increasing,” Kose said.
The World Bank estimates that the U.S. economy expanded by 2.1% in 2025, which would bring its average growth rate since 2022 to 2.6% compared with 2.2% in the decade through 2020. That excludes the first year of the decade when the economy grew by 6.2% as it…
