Trade disruptions, inflation and geopolitical tensions are dampening the global business outlook, according to a new survey of local business organisations across more than 100 countries by the International Chamber of Commerce (ICC).
The findings of the ICC World Chambers Federation Chamber Pulse 2025 survey offer a snapshot of business perspectives on key economic questions across economies that collectively account for 90% of global GDP.
The ICC is the institutional representative of more than 45 million companies in over 170 countries. ICC’s core mission is to make business work for everyone, every day, everywhere.
Through a unique mix of advocacy, solutions and standard setting, it promotes international trade, responsible business conduct and a global approach to regulation, in addition to providing market-leading dispute resolution services. Its members include many of the world’s leading companies, SMEs, business associations and local chambers of commerce.
The Cypriot business community is represented at the ICC through the Cyprus National Committee that is based at the CCCI while all Chambers that are operating in Cyprus are member of the ICC World Chambers Federation.
Commenting at the launch of the survey results in Melbourne, ICC Secretary General John W.H. Denton AO said, “This survey provides a real-time snapshot of the global business landscape, highlighting growing uncertainty as the top challenge for businesses. The survey shows the unique value of the ICC network in providing critical insights from the real economy at a time of major global change. We hope these findings will serve as a catalyst for policy choices capable of delivering prosperity for businesses, workers, and consumers alike.”
A clouded trading and business environment
While 89% of chambers rate the business environment as at least acceptable, regional gaps are wide. Geopolitical tensions, inflation, and tariffs top the list of global obstacles for businesses, but challenges vary significantly by region.
Respondents in North America struggle most with tariffs (100%) ,in the Middle East and North Africa with geopolitical tensions (62%), in South Asia with taxation (82%), and in Latin America & the Caribbean with insecurity (70%).
Labour shortages are most acute in North America (83%), Europe and Central Asia (70%) and East Asia and Pacific (54%). Inflation remains a major concern, with price increases reported in over 90% of countries.
For over half of the surveyed chambers, the current trading environment is a significant burden on business. Uncertainty surpasses tariff changes as the leading trade challenge, with 74% of chambers citing it as a significant obstacle.
Concerns over rising protectionism are particularly pronounced in East Asia and the Pacific and Latin America and the Caribbean, while chambers in the Middle East and North Africa are more optimistic, with 60% expecting trade conditions to stabilise.
Adaptation strategies and outlook
In response to uncertainty, businesses are prioritising market diversification (67%) and cost management (51%) over relocation (25%). Regional trade development is gaining traction in Asia and Europe, while North American firms are rethinking supply chains.
Despite challenges, chambers remain generally optimistic (50%) about future business conditions. The Middle East and North Africa lead with the most positive outlook, while Latin America and the Caribbean and East Asia and the Pacific report growing pessimism, especially amid inflationary pressures.
Survey findings also show that Artificial Intelligence (AI) usage is gaining ground among businesses, with usage reported by 22% of respondents, up from 16% in 2024. Asia leads in both adoption and preparedness, but a lack of expertise, concerns over data privacy, and unprepared company data are cited as hindering progress elsewhere.
Rifat Hisarcıklıoğlu, Chair of the ICC World Chambers Federation added, “With 74% of chambers citing uncertainty as the leading challenge for business, this survey confirms the reality of our network: the world is in a period of constant change. In this climate, we, as the chamber network all over the world, remain essential, helping companies navigate geopolitical risks, manage inflation, and expand into new markets. Chambers are steady partners in resilience, innovation, and growth."
Read more on key findings and download the full report.
