U.S. Commerce Secretary Howard Lutnick forecasts that the country's GDP will grow by more than 5% in the first quarter of 2026, despite high interest rates hindering stronger economic expansion. Speaking at the World Economic Forum in Davos, Lutnick emphasized the need for lower interest rates to enable the economy to thrive, suggesting that growth could reach 6% if rates were reduced. Lutnick's optimistic projection contrasts with U.S. Treasury Secretary Bentsen's more conservative estimate of 4% to 5% GDP growth for 2026. Lutnick highlighted that current economic policies are a barrier to achieving higher growth rates, underscoring the impact of interest rates on economic performance.
U.S. Commerce Secretary Predicts Over 5% GDP Growth Amid High Interest Rates
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