UN predicts subdued global growth at 2.8% in 2025 due to high debt, weak investment, and geopolitical risks.
Global economic growth is projected to remain stagnant at 2.8% in 2025, mirroring 2024 levels, as per the United Nations’ latest World Economic Situation and Prospects (WESP) 2025 report. The analysis attributes this subdued growth to ongoing uncertainty, weak investment, sluggish productivity, and high debt levels across the globe.
While the global economy has demonstrated resilience against multiple shocks, growth remains below the pre-pandemic average of 3.2%. The report suggests that easing inflation and monetary policies in several countries could offer a modest boost to economic activity in the coming year.
However, significant risks continue to overshadow progress. Geopolitical conflicts, escalating trade tensions, and persistently high borrowing costs are critical factors fuelling global uncertainty. Low-income and vulnerable nations are particularly impacted, with fragile growth slowing progress toward achieving the Sustainable Development Goals (SDGs).
The UN underscores the need for coordinated global action to tackle these challenges and foster an inclusive recovery.
