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EconomyAI Analysis

WEF 2025 Business Environment Survey: Why Doing Business Got Tougher

2 min readSource

The WEF 2025 business environment survey reveals a significant increase in difficulty for global businesses due to geopolitical risks and inflation. Read the full analysis.

Did your business survive the frost of last year? According to the latest survey by the World Economic Forum (WEF), 2025 went down as one of the most grueling years for global commerce in a decade.

Key Findings from the WEF 2025 Business Environment Survey

According to Reuters, more than half of global executives reported that regulatory hurdles and supply chain disruptions intensified throughout 2025. Geopolitical friction, in particular, has become a decisive factor, driving up fixed costs by creating unpredictability in major trade routes. The World Economic Forum noted that rising protectionism is stifling innovation in the private sector.

The Lingering Shadow of Inflation and Rates

Cost pressures remain an unsolved puzzle. Over 60% of surveyed firms cited high borrowing costs as the primary obstacle to growth. This environment hasn't just hurt SMEs; it has forced global giants to make painful choices, including aggressive operational streamlining and workforce reductions.

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