Global Economy Faces Headwinds Amidst AI Boom and Trade Tensions
The global economic outlook for 2025 and beyond is marked by caution, according to recent reports. The Organisation for Economic Co-operation and Development (OECD) warned that while an artificial intelligence (AI) investment boom is helping to offset some impacts of United States tariff hikes, global growth remains vulnerable to trade tensions. The OECD forecasts global growth to slow modestly from 3.2 percent in 2025 to 2.9 percent in 2026. Similarly, the UN Trade and Development body (UNCTAD) reported that global economic growth will slow to 2.6 percent in 2025, down from 2.9 percent in 2024, attributing this to financial volatility and geopolitical uncertainty, which disproportionately affect developing economies. The U.S. economy is projected to grow by 2 percent in 2025, boosted by AI investments, fiscal support, and anticipated Federal Reserve rate cuts. China's growth is expected to remain steady at 5 percent, while India is poised to be the fastest-growing major economy with an anticipated 6.7 percent growth.
In Europe, Bulgaria's government withdrew a controversial budget proposal following widespread protests across major cities. Meanwhile, Finland is grappling with a soaring unemployment rate, one of the highest in the EU, which poses a significant challenge to its established welfare model.
Breakthroughs in Quantum Computing and AI Drive Scientific Progress
The scientific community celebrated several significant advancements. Researchers have successfully teleported entanglement across two linked quantum networks, marking a historic first in quantum communication. Additionally, scientists achieved a breakthrough in quantum signaling with a new room-temperature device that entangles light and electrons, potentially revolutionizing quantum technologies in cryptography, computing, and AI by removing the need for super-cooling. A powerful new DNA editing method has also been developed, raising hopes for cures for various diseases. In space exploration, SpaceX launched its latest Falcon 9 rocket, deploying another 27 Starlink satellites. The growing demand for electrical power driven by AI advancements is also becoming a key area of focus, prompting discussions on energy supply and infrastructure.
International Efforts on Social Welfare and Diplomatic Relations
On the social welfare front, a new international coalition named "All In" was launched, co-founded by the UK, to address the global issue of violence against women and girls. This initiative comes as reports indicate that global modern slavery has risen to 50 million people, with forced labor generating an estimated $236 billion in annual profits.
Diplomatic activities saw the United States assume the presidency of the G20, with President Trump emphasizing a return to the organization's core mission. In a critical development, Russian President Vladimir Putin stated that Russia is "ready right now" for war with Europe if European states initiate it, remarks made just before a meeting with a US Special Envoy. Efforts to promote peace in Africa included a planned US-hosted peace signing between Rwanda and the Democratic Republic of Congo to de-escalate conflict in the eastern DRC. The UK and Saudi Arabia also held their third Strategic Dialogue on international development, agreeing on new joint humanitarian projects in Yemen and Bangladesh. Egypt's Foreign Minister engaged with Germany, praising its development role and seeking expanded cooperation across Africa and for Gaza's recovery.
Awards and Appointments
In the corporate and professional spheres, EPAM Systems, Inc. was honored with the 2025 AWS Global Innovation Partner of the Year Award. Shiji was recognized as a finalist for the 2025 Geo and Global AWS Partner Award in the Travel and Hospitality category. In leadership changes, Paul Uhlman was appointed President and CEO of Federated Advisory Companies within Federated Hermes, Inc. TransPerfect Legal made key appointments to strengthen its global team, naming Angie Nolet as Vice President of Consulting & Information Governance in Seattle and Haleh Hamzavian as Senior Director of Investigations in Dubai. RWS Global also announced new additions to its Board of Directors and Advisory Board. On the sports awards front, Akinola Davies Jr. received the Breakthrough Director award at the 2025 Gotham Awards for his film 'My Father's Shadow.'
Non-Cricket Sports Highlights
In non-cricket sports, India's men's football team secured qualification for the 2026 AFC U17 Asian Cup, to be held in Saudi Arabia. The Indian women's junior hockey team is set to begin its World Cup campaign against Namibia. Globally, pole vaulter Armand Duplantis and hurdler Sydney McLaughlin-Levrone were named the 2025 World Athletes of the Year at the World Athletics Awards. In American football, Andrew Body of Bama State was recognized as the SWAC Offensive Player of the Year.