Global Economy News
LAST UPDATE: June 30, 2025
UN chief urges aid surge in world of ‘climate chaos, raging conflicts’
UN Secretary-General António Guterres called for ramped-up development aid at a conference in Seville, highlighting worsening inequalities, climate-driven disasters, conflicts, and food insecurity. He urged global leaders to “rev up the engine of development.”
Insight
Guterres’ message underscores the compounding crises—climate disruptions, conflict zones, and growing inequality—threatening global stability. His call aims to galvanize collective action on aid and sustainable development.
Poor nations buffeted by ‘perfect storm’ of aid cuts and Trump tariffs
The Financial Times reports that developing countries are facing a “perfect storm” from cuts in U.S. foreign aid and new tariffs under the Trump administration. Aid funding is forecast to fall from $60 bn in 2024 to under $30 bn by 2026, exacerbating debt and hampering recovery.
Insight
The combination of reduced aid and punitive trade tariffs risks reversing development gains, deepening poverty, and heightening political instability in already vulnerable nations.
Trump Says He Doesn’t Expect to Extend July 9 Tariff Deadline
President Trump indicated, in a June 29 interview, that he does not plan to extend the 90-day “Liberation Day” tariff reprieve beyond the July 9 deadline. He emphasized that deals should be finalized by then, though an extension would not be a “big deal.”
Insight
Trump’s stance raises pressure on remaining trade partners and implies tariffs will soon apply unless deals are reached. However, his openness to minor extensions suggests flexibility if deal-making warrants it.
Trump Deals Poised to Fall Short of Sweeping Trade Reforms
With the July 9 deadline looming, top advisors acknowledge that bilateral agreements struck so far — like those with the UK and China — are narrow in scope. They deal with isolated issues but don’t deliver comprehensive trade reform.
Insight
The pragmatic nature of these deals suggests Trump may prioritize quick, symbolic wins over deep structural agreements. This could disappoint markets and cast doubt on the administration’s broader reform ambitions.
Trump says ‘getting along well’ with China, downplays hostile acts
Trump told AFP that relations with China are “getting along well,” dismissing recent tensions over cyber and industrial espionage as commonplace global politics: “That’s the way the world works.”
Insight
Trump’s attempt to tone down bilateral tension suggests a strategic recalibration towards engagement. It may ease market concerns and help smooth ongoing trade negotiations.
