Inflation has been falling towards targets, but some pressures persist

There are some signs that the global outlook has started to brighten, even though growth remains modest. The impact of tighter monetary conditions continues, especially in housing and credit markets, but global activity is proving relatively resilient and inflation is falling faster than initially projected. By the end of 2025, inflation is projected to be back on target in most major economies.

High geopolitical tensions remain a significant near-term adverse risk, particularly if the evolving conflict in the Middle East was to intensify and disrupt energy and financial markets, pushing up inflation and reducing growth. Monetary policy needs to remain prudent to ensure that underlying inflationary pressures are durably contained.

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Gender equality is central to the Sustainable Development Goals. The OECD monitors policy developments in OECD countries and beyond. It provides country-specific analysis in order to transform harmful social norms and eliminate discriminatory laws.

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With a policy environment that embraces innovation, Africa has the potential to design and produce its own e-vehicles and become an innovator in this space. Valerie Labi, co-founder of Africa’s first eBike manufacturer, explores how young Africans can be empowered to design transport solutions that suit their context.

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While AI may stimulate innovation and deliver significant productivity and performance benefits, it could also yield threats to market competition and equality. A comprehensive policy approach is needed to effectively manage these risks and harness AI’s full potential. 

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