Insights

The war involving Iran, the US, and Israel has severely disrupted Iranian exports beyond oil, impacting global supply chains in methanol, pistachios, and cement. Iran, the world’s second-largest methanol producer, has seen exports halt due to strikes on gas infrastructure and port closures, removing over 30% of global seaborne methanol supply and raising costs for China. Pistachio exports, mainly from Khorasan, have dropped 30%, exacerbated by export challenges and market pressures, benefiting mainly US producers but hurting South Asian and Gulf markets reliant on Iranian nuts. Iran's cement industry, a major regional supplier, faces output declines due to gas shortages and power cuts worsened by the conflict, affecting neighboring countries that depend on its exports.
Oman, Türkiye
Methanol, pistachios and cement: the other Iranian exports being choked by the war
Organizations adopting AI agents face challenges in defining and enforcing authorization as systems evolve, especially since many agents share foundational models, creating systemic vulnerabilities. Developed with Capgemini, the playbook introduces the Agent Capability and Authorization Profile (ACAP), a governance framework that integrates delegation policy, system design, and operational oversight to ensure auditable, enforceable, and accountable AI agent actions throughout deployment. It provides clear guidelines and authorization profiles, guiding organizations from pilot projects to scaled portfolios, supporting responsible AI agent operationalization with human accountability and advancing shared standards.
AI Agents in Action: A Playbook for Trusted Adoption, Authorization and Scaling
Young men join gangs not only due to adversity such as poverty, violence, and family instability but also because gangs provide belonging, identity, protection, and support that they lack elsewhere. These relationships make gang involvement appealing and difficult to leave despite the associated risks and criminal behavior. Effective early intervention, emphasizing trusted relationships with mentors and coordinated support across schools, social care, and youth services, can help at-risk youth find purpose and belonging outside gangs. Government reforms aim to provide timely, holistic support through programs like Turnaround and Young Futures Hubs, addressing root causes and helping young people build futures beyond crime.
They ‘showed me a lot of love’: why young men seeking belonging join gangs
The European Political Community (EPC) has held eight summits since its 2022 launch, establishing itself as a flexible, intergovernmental forum for political dialogue across Europe beyond the EU framework. Unlike the EU, the EPC has no binding legal obligations or accession conditions, enabling diverse participation and fostering coordination amid geopolitical uncertainties such as Russian revisionism and energy insecurity. It complements rather than competes with the EU, creating a layered institutional ecosystem of concentric circles that accommodates differentiated cooperation forms. This flexibility enhances Europe's resilience by promoting regular consultation, reducing strategic uncertainty, and extending political engagement across a fragmented European security landscape.
Europe’s concentric circles – the European Political Community and the value of flexible cooperation
Malaysia faces challenges in expanding green affordable housing (GAH) and green mortgage uptake due to low demand and supply, housing cost inflation, and financing gaps, particularly for low-income and female-headed households. Strengthening green housing standards, increasing public awareness, developing tailored financial products, and fostering collaboration among government, financial institutions, and developers are essential to promote sustainable urban development and bridge financing shortfalls in the GAH sector.
The Path Toward Affordable Green Housing and Green Mortgage Standards in Malaysia
The globalization trend of offshoring routine knowledge work to emerging economies may be reversed or reinforced by generative AI (GenAI), depending on its development. If AI replicates the abilities of routine workers, emerging economies could move into higher-skilled problem-solving roles and even export such services. Conversely, if AI matches advanced problem solvers, advanced economies will deepen their specialization, increasing demand for routine work in emerging markets, thus reinforcing current trade patterns. AI's autonomy level is key; autonomous AI may replace less knowledgeable workers while augmenting experts, shifting the global distribution of knowledge work and reshaping international trade dynamics.
Education
Will AI upend the offshoring of global knowledge work?
Pope Leo XIV's first papal encyclical, "Magnifica Humanitas," calls for the disarmament of artificial intelligence, emphasizing the need to prevent AI from dominating humanity while supporting robust regulation to ensure technology serves the common good. Drawing parallels to his predecessor Leo XIII's landmark social teaching on the industrial revolution, Leo XIV highlights AI's threat to workers, social justice, and human dignity. He warns against the militarization of AI, advocating for it to be developed only for peaceful purposes, akin to nuclear disarmament. The pope invites broader societal involvement in AI governance, including voices beyond technology sectors, to address ethical and justice concerns effectively.
‘AI needs to be disarmed’: Pope Leo sees threat to humanity in technological arms race
ESG investing aimed to align capital with environmental and social values, incentivizing corporations to adopt sustainable practices and build the green economy. However, ambiguity in ESG criteria and the inclusion of companies like Exxon in top ESG funds revealed measurement flaws, undermining the model’s credibility. Activist investing also faced challenges, raising doubts about pricing values in markets focused on short-term growth and quick returns. Despite setbacks in ESG and activism, successful financial structures like investments in wind and solar demonstrate that patient, long-term capital can drive climate progress. The fundamental issue lies in public markets' emphasis on short-term gains, ill-suited for slow, systemic crises like climate change.
Podcast: Why Wall Street Slowed Its Roll on Sustainability
Africa holds significant untapped investment potential, with 17% of the global population and rising FDI reaching $97 billion in 2024, about 6% of global flows. However, investments remain concentrated in natural resources, leaving many communities and businesses underserved. The Humanitarian and Resilience Investing (HRI) Roadmap for Africa, developed by the African Development Bank and the World Economic Forum, seeks to mobilize finance by fostering partnerships across sectors to support frontier markets. The initiative aims to raise $10 billion by 2030, scaling 1,000 businesses and launching up to five country alliances by 2027, expanding to 10 markets by 2030.
Africa
HRI Roadmap for Africa: Mobilizing Finance for Africa’s Frontier Markets
Africa, home to 17% of the global population, presents one of the largest untapped investment opportunities, attracting $97 billion in FDI in 2024. The Humanitarian and Resilience Investing (HRI) Roadmap for Africa, developed by the African Development Bank and the World Economic Forum, aims to mobilize investment in frontier markets by fostering partnerships among civil society, governments, and the private sector. The initiative targets mobilizing $10 billion in capital to scale 1,000 businesses by 2030, with plans to launch five country alliances by 2027 and expand to 10 markets by 2030.
Africa
HRI Roadmap for Africa: Mobilizing Finance for Africa’s Frontier Markets
The global competition between the US and China increasingly centers on control over data and digital technologies, shaping future power balances. Europe, lacking dominant tech firms or centralized control, leverages its strength in rule-making to carve a strategic role. While the US favors open data flows and China asserts digital sovereignty, Europe seeks a "third way" by setting standards that balance openness with protection, exemplified by its regulatory influence known as the "Brussels effect." The lapse of the WTO Moratorium on electronic transmissions risks digital trade fragmentation, raising costs and uncertainties. Europe's challenge lies in converting regulatory authority into diplomatic power by building alliances to shape global rules, preventing a fragmented digital economy and maintaining influence amid geopolitical and technological shifts.
Belgium, Germany | Financial services, Health, Education, ICT
The Big Data Game
China continues to view Europe as a strategic partner, valuing its manufacturing quality, brands, and technological skills. Under its new five-year plan, China aims to boost domestic growth and attract EU investment in high-tech and green sectors, including renewable energy, 5G, pharmaceuticals, precision mechanics, and luxury goods. While investing in China carries risks, improvements in intellectual property laws and joint venture structures via Hong Kong have made market entry more manageable. Challenges like capital repatriation remain, but leveraging specialized industrial districts and local support can ease operations. Success requires a well-prepared strategy that bridges European and Chinese business cultures, making now an opportune time for Italian and European firms to reengage with China’s market.
Austria, Czech Republic, France, Germany, Italy, Romania | Financial services
The Decisive Match
Democratic AI governance requires meaningful citizen engagement beyond initial consultations. Canada, while seeking input from diverse Canadians on AI policy, can enhance involvement by building public AI literacy, treating participation as both a policy and outreach challenge, and collaborating with civil society. Recommendations include creating continuous engagement portals for feedback, appointing ombudspersons in government departments to address AI-related public concerns, and fostering ongoing dialogue. These measures, drawn from comparisons with Australia, Colombia, and the U.S., aim to deepen informed citizen participation in AI governance across democracies.
Meaningful Engagement: Lessons from Canada and Other Democracies
Digital transformation enables governments to enhance public service delivery and strengthen state capacity. However, without clear guidelines, rapid and high-visibility efforts risk increasing exclusion, diminishing accountability, and creating systems misaligned with citizens' realities, which can erode trust and legitimacy. The GovTech Compass presents ten practical principles to ensure responsible implementation of GovTech and digital public infrastructure, providing a framework to guide decision-making, balance trade-offs, align incentives, and embed public value throughout the digital transformation process.
Germany | Financial services, Health, Education, ICT
The GovTech Compass: Ten Principles for the Responsible Implementation of GovTech and Digital Public Infrastructure
Human mobility, climate change, and demographic trends heighten the risk of infectious disease spillover and spread. Although outbreak data availability has increased, accessing sensitive and confidential data remains challenging due to regulatory, logistical, and computational barriers. Federated approaches, which allow data to remain locally stored while enabling combined analysis across sources, offer a promising solution. These methods can improve infectious disease surveillance and modeling by securely integrating multimodal data, addressing key epidemiological questions, and enhancing global public health responses. However, adoption is currently limited, necessitating further development and organizational support for equitable impact.
Financial services, ICT, Health
Global approaches to infectious disease surveillance and modeling
The 2026 G7 agenda focuses on strengthening economic security and enhancing supply-chain resilience amid global uncertainties. It emphasizes coordinated international efforts to safeguard critical infrastructure, diversify supply sources, and promote sustainable energy transitions. Strengthening cooperation among G7 nations aims to address vulnerabilities exposed by recent geopolitical tensions and disruptions, ensuring stable economic growth and security. The agenda also highlights the importance of integrating climate policies with economic strategies to build long-term resilience.
Africa | Financial services, ICT, Health
Economic Security and Supply-Chain Resilience: Building the 2026 G7 Agenda
Systemic cooling poverty, the lack of adequate infrastructure and resources to cope with extreme heat, disproportionately affects nearly 600 million people across largely developing countries, especially in South Asia and sub-Saharan Africa. Heat vulnerability varies due to disparities in physical and social infrastructure, with poorer communities lacking access to air conditioning, green spaces, and safe public amenities. Reliance on air conditioning is both unequal and environmentally unsustainable, exacerbating climate change. Heat impacts are deeply tied to socioeconomic and environmental conditions, where marginalized groups face compounded risks. Traditional knowledge and adaptive practices have eroded, reducing resilience. Addressing systemic cooling poverty requires holistic improvements in infrastructure, social support, and climate adaptation strategies.
Africa, Latin America
Cooling poverty is making extreme heat more dangerous for millions
Central Asia possesses significant renewable energy potential but has attracted relatively limited foreign direct investment outside Uzbekistan, which leads with over $17 billion in solar and wind projects. Other countries, including Kazakhstan, Kyrgyz Republic, Tajikistan, and Turkmenistan, face challenges from underdeveloped investment ecosystems characterized by regulatory gaps, limited project preparation capacity, grid integration barriers, and weak financial frameworks. Kazakhstan ranks highest in ecosystem readiness due to solid government commitment and regulatory frameworks, while Kyrgyz Republic and Turkmenistan show substantial deficiencies. Strengthening grid infrastructure, regulatory stability, investment promotion agencies, and regional cooperation is essential to diversify technologies and expand investor participation across the region.
Armenia, Bosnia and Herzegovina, Costa Rica, Czech Republic, Kazakhstan, Kyrgyz Republic, Pakistan, Tajikistan | Financial services
How Central Asia Can Strengthen Renewable Energy Investment
AI is transitioning from a mere tool to a central driver of organizational decision-making, shifting responsibility and accountability for verifying AI outputs. Leading companies are moving beyond experimentation to fully integrate AI into operations, reshaping work structures and skill requirements. Insights from experts at Accenture, Wharton, Walmart, eBay, and Expedia reveal this evolution, highlighting a fundamental change in how businesses operate and manage people in an AI-driven environment.
Education
Host’s Cut: Reflections on Season Five
The UK government’s new towns strategy aims to tackle the housing shortage by promoting denser, more walkable settlements centered on public transport and active lifestyles, contrasting with past low-rise, car-dependent developments. These towns will feature mid-rise buildings (four to eight storeys) arranged around walkable streets and mixed-use high streets, inspired by dense European cities like Barcelona and Paris. Challenges include industry resistance to denser housing, higher costs, safety concerns post-Grenfell, and local opposition rooted in cultural preferences for houses over flats. Success depends on high-quality design, mixed uses, and robust public transport to ensure these denser communities are desirable and livable, avoiding rushed, poorly planned developments.
New towns are back – but this time they must be more walkable

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