GENEVA, Oct 13 (Reuters) – Small and medium-sized businesses and developing economies are likely to be at particular risk of a slowdown in investment due to ongoing tariff uncertainty, the Secretary-General of the UN Trade and Development Agency told Reuters on Monday.
“We fear that there will be more lagging numbers in terms of investment,” UNCTAD’s Rebeca Grynspan said in an interview at her office in Geneva.
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“We fear small and medium-sized businesses will be affected everywhere, but also small countries that depend much more on trade and investment to really seek growth.”
Grynspan said forecasts for 2026 hinge on whether the current trade tensions escalate into a full-blown trade war, or if higher tariffs persist amid ongoing trade negotiations.
“There is uncertainty, but there will be more predictability. The markets will adapt to the new situation,” she said.
Grynspan said the least developed countries in Africa and small island states were “worse off” and have less resilience amid trade uncertainties, as they face higher tariffs compared to developed nations.
Reporting by Olivia Le Poidevin; Editing by Jan Harvey
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