Global GDP Growth Slows: Strategic Investment and ESG Focus Essential for 2025

November 20, 2024
Global GDP Growth Slows: Strategic Investment and ESG Focus Essential for 2025
  • Global GDP growth is projected to decline to 3.0 percent in 2025, down from 3.2 percent in 2024, reflecting stagnation in earnings growth and falling below long-term trends.

  • Barclays Bank highlights that the global economy will encounter significant challenges in 2025, marked by subdued growth and increased uncertainty.

  • In light of these challenges, strategic investment planning for 2025 will necessitate adaptability and foresight as global economic uncertainties rise.

  • Investors are advised to prioritize high-quality assets and to comprehend the interplay between macroeconomic variables and investment opportunities.

  • Moreover, there is a growing emphasis on environmental, social, and governance (ESG) factors, as sustainability becomes a mainstream consideration in investment decisions.

  • In the United Kingdom, the economy is adjusting to post-Brexit realities, with a projected growth rate of 1.2 percent.

  • Conversely, the United States is expected to see economic growth exceed 2 percent in 2025, bolstered by favorable monetary policy adjustments and a robust labor market.

  • Meanwhile, the Eurozone is anticipated to experience a mild recovery, with GDP growth around 0.7 percent, although this is constrained by contractionary fiscal policies and insufficient competitive investments.

  • In Asia, China's GDP growth is forecasted to drop to 4.0 percent in 2025, indicating a bleak outlook despite potential stimulus measures.

Summary based on 1 source


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