The Organisation for Economic Cooperation and Development (OECD) made the prediction during a report analysing the potential impact of the Republican’s bold policies.
The report revealed Trump’s plans to cut corporate tax and invest $550billion into developing Washington’s infrastructure that will enable the US economy to grow by 2.3 per cent in 2017 and three per cent in 2018.
The OECD also estimates the US’ gross domestic product will rise by 1.5 per cent in 2017.
The report noted Trump’s plans to invest in America’s infrastructure will help combat inequality and utilise workers who have been left behind by globalisation.
The report said: “GDP is projected to return to a moderate growth trajectory in 2017 and strengthen in 2018, mainly due to the projected fiscal stimulus, which takes effect particularly in 2018.
“Indeed, projected fiscal support will boost GDP growth by just under 0.5 and one percentage point in 2017 and 2018 respectively.”
The report also predicts global growth will rise as a result of Trump’s plans.
It suggests world GDP will increase to 3.3 per cent next year and 3.6 per cent in 2018.
The report added: “In the absence of the US fiscal stimulus, projected GDP growth in 2018 would be largely unchanged from that in 2017 in most countries.”
However, critics of Trump have hit out at his infrastructure spending policy, pointing out that it will increase the national debt, which already stands at $19.2trillion.
They claim public money will be spent on debt and interest repayments rather than public services.