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2025 presents an inflection point. Bridging the divides between technology, economy, and environment requires multilateral coordination rooted in resilience and equity.
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This article is a part of the essay series “Budapest Edit”
The global landscape in 2025 is shaped by converging disruptions in technology, geopolitics, and climate. Addressing these requires decisive leadership and cooperative frameworks that translate policy into action.
Artificial intelligence (AI) continues to reshape economies and governance, but its unregulated expansion raises concerns about equity and ethical misuse. India’s experience with Digital Public Infrastructure (DPI), including Aadhaar and Unified Payment Interface (UPI), offers lessons in balancing inclusion and scalability. Global policymakers must prioritise frameworks for ethical AI governance to mitigate risks while enabling cross-border interoperability.
The global landscape in 2025 is shaped by converging disruptions in technology, geopolitics, and climate.
On economic resilience, fragmented supply chains demand renewed focus. India’s Production Linked Incentive (PLI) schemes provide a compelling model for diversifying manufacturing hubs and fostering regional collaboration. Expanding such initiatives across critical sectors like semiconductors and green technology can enhance global resilience against systemic shocks.
Climate finance remains the most urgent challenge. Despite high-profile commitments at COP28 and COP29, progress in closing the adaptation finance gap has been limited. Innovative mechanisms such as green bonds and blended finance initiatives—pioneered by countries like India—are crucial for mobilising resources at scale. Operationalising these models requires a global compact, harmonising public and private investments with measurable outcomes.
India’s Production Linked Incentive (PLI) schemes provide a compelling model for diversifying manufacturing hubs and fostering regional collaboration.
The financial system is also undergoing significant recalibration. The emergence of central bank digital currencies (CBDCs) and bilateral agreements indicate a pivot towards regional trade currencies. Platforms like the Asian Clearing Union (ACU) can facilitate such transitions while safeguarding trade stability.
2025 presents an inflection point. Bridging the divides between technology, economy, and environment requires multilateral coordination rooted in resilience and equity. Nations must act swiftly to align these opportunities with actionable strategies, fostering a cooperative and sustainable global order.
Arvind Gupta is the Head and Co-Founder of the Digital India Foundation
Shivank Singh Chauhan is a Senior Policy Associate at the Digital India Foundation
The views expressed above belong to the author(s). ORF research and analyses now available on Telegram! Click here to access our curated content — blogs, longforms and interviews.
Arvind Gupta is the Head and Co-Founder of Digital India Foundation, a policy think tank focusing on digital inclusion, smart cities, and internet governance. He ...
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Shivank Singh Chauhan is a policy expert at the Digital India Foundation, focusing on digital identity and payments. Co-founder of Project Statecraft and advisor to ...
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