Standard Chartered global market outlook 2025

Standard Chartered, a global banking institution, is optimistic about the economic landscape in 2025. Manpreet Gill, Chief Investment Officer for Africa, the Middle East, and Europe at Standard Chartered, shared insights with CNBC Africa. According to Gill, the U.S. and India are leading the way in terms of strong economic growth, providing a positive backdrop that could benefit other regions. Despite challenges in Europe, the robust outlook for the U.S. economy is expected to have a ripple effect on global markets. In terms of geopolitical risks, Gill highlighted that financial markets tend to have a narrow focus and can move past disruptions quickly unless they directly impact the economy or supply lines. One area of concern is the potential imposition of tariffs by the U.S. However, overall, constructive geopolitical events are driving a positive view on equities. Moving on to Kenya, Gill emphasized the importance of the global economic backdrop in navigating the country's growing debt burden. He mentioned that the cost of funding, especially in U.S. dollar terms, could be influenced by the Federal Reserve's rate cuts, which may lower dollar yields and ease debt-raising concerns. Gill also highlighted the significance of the U.S. dollar in driving foreign investor flows into Kenya and other emerging markets. He expressed optimism that a Fed rate cut could positively impact emerging market investments in Africa. In terms of investment opportunities, Gill stressed the importance of diversification and identified attractive sectors for investors in 2025. In the U.S., technology and financial sectors were highlighted, while in Europe, a mix of pro-cyclical and defensive sectors like healthcare were mentioned. In Asian markets such as China and India, specific sectors like industrials and yield-oriented ones were identified. Looking ahead, Gill discussed Standard Chartered's commitment to innovation and competitiveness. The bank focuses on staying at the cutting edge by exploring sectors like AI and providing tailored advice and solutions to investors, ensuring a forward-thinking approach in an evolving market landscape.