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Author: Ojasw Tyagi

  • The UAE is No Longer a Financial Risk in Europe’s Eyes: Delisting from AML/CFT High-Risk List Boosts Confidence

    The UAE is No Longer a Financial Risk in Europe’s Eyes: Delisting from AML/CFT High-Risk List Boosts Confidence

    The United Arab Emirates (UAE) has been removed from the European Union’s list of problematic states in terms of its financial regime for money laundering and terrorist financing (AML/CFT).

    This long-awaited removal, officially approved by the European Parliament on July 10, 2025, is further proof of the strong commitment of the EU toward the UAE’s efforts regarding fighting financial crimes and its adoption of international standards.

    A Comprehensive Turnaround

    The move follows a year of scrutiny and a raft of reforms carried out by the UAE. The country was originally put on the grey list of the Financial Action Task Force (FATF) in 2022, which subsequently led the EU to place the UAE itself on its list of high-risk states in March 2023. These classifications subjected EU financial institutions working with Emirati entities to higher due diligence levels that made transactions slower, costlier and damaging for reputations.

    The UAE reacted strongly and quickly, however. The country undertook a comprehensive revision of its AML/CFT regime under the instructions of leadership.

    This included various legislation, new regulations, substantial fines against non-compliant parties, and stepping up enforcement in high-risk sectors, including real estate, gold and precious metals, and corporate services providers.

    These proactive initiatives led the FATF to remove the UAE from its grey list in September 2024, noting “significant progress” in several compliance-specific areas.

    Tangible Benefits for European Business

    For the EU, the decision to delist matters not only symbolically, but also in concrete and practical terms for European businesses and investors. EU banks and companies will also be able to stop carrying out additional due diligence on Emirati clients and transactions.

    These cuts in red tape will result in fewer compliance costs, shorter timeframes for the transaction, and improved movement of capital between the jurisdictions. The shift is likely to restore a great deal of market confidence for overseas investors, particularly in banking, fintech and property.

    With the move, the profile of the UAE as a secure and transparent place for foreign direct investment will be elevated yet further. This comes as good news for businesses planning to set up in the UAE that are looking at smoother sailing with less red tape to navigate.

    Creating Opportunities for More Fulfilling Relationships

    Outside of finance, the delisting will also help lift trade negotiations between the EU and the UAE. The UAE’s earlier listing on the high-risk register had complicated discussions about a bilateral free trade agreement.

    Its withdrawal leaves more room for extreme conservatives to have a deeper discussion on macro policy, including energy, AI, digital services, raw materials and other strategic sectors, so as to further strengthen economic cooperation and wrapped development.

    As Minister Al Sayegh said, “We are thrilled to unlock the full potential that exists between the UAE and the EU as we build toward an even closer constructive relationship, with greater prosperity and collective security for our regions and nations.”

    Continued Vigilance

    As the UAE marks this major achievement, it has not lost sight of the fact that it will not be easy to uphold a strong AML/CFT framework. The jurisdiction remains steadfast in its ongoing development of its protections to combat the progression of threats, such as those involving virtual assets and multi-jurisdictional money laundering.

    This delisting reflects the UAE’s commitment toward safeguarding the global financial system against such risks, as well as demonstrating the country as a secure and dependable partner for international exchanges.

  • ⁠Millennials say they need $847,000 to feel ‘comfortable’ financially. Here’s how much Gen Z, Gen X and boomers want.

    ⁠Millennials say they need $847,000 to feel ‘comfortable’ financially. Here’s how much Gen Z, Gen X and boomers want.

    New York – What does it take to reach the lofty goal of feeling “financially comfortable”? That elusive figure varies widely by generation, the survey found, with Millennials saying they’ll need an impressive $847,000 to feel secure. This figure is higher than the national average and exposes the differing financial hopes and circumstances of varying generations.

    The most recent Charles Schwab Modern Wealth Survey 2025 (published July 9, 2025) makes that generation gap plain, detailing the net worth each group thinks is needed to feel financially secure. The average American now estimates it takes $839,000 to be financially comfortable, more than the $778,000 of last year.

    Millennials Leading the Pack

    For the most part, Millennials (29 to 44 years old, in this case) are looking for the highest comfort level. Their request for $847,000 is symbolic of a generation wrestling with such seismic economic forces as student loan debt, escalating housing costs and inflationary pressures, all while also carving out their own paths in the workplace and at home.

    Their own journeys into work in the aftermath of the financial meltdown of 2008 may also give them a different sense of how much capital it takes to achieve security.

    Gen Z: Lower Threshold, More Positive

    And Gen Z (ages 21-28) has set the leanest bar for financial comfort, saying they need $329,000. Gen Z may be dealing with their own economic issues – however, there’s a lot of optimism coursing through this generation.

    43 per cent of Gen Z and 42 per cent of Millennials think they will become wealthy (or already are), at rates far higher than other generations. In addition, this younger generation is more likely to have written down their financial plans, suggesting that they approach financial wellness more consciously even though they are less comfortable.

    n X and Boomers: Different Needs, Greater Averages

    Generation X, also known as the sandwich generation because many in that age group support children and ageing parents, says it needs $783,000 to feel financially well. This number is a bit lower than the national average, but 2 million people is still a tonne of people.

    And Baby Boomers (ages 61-77), most of whom are approaching or are in retirement, believe that they need surprisingly the highest amount among all generations to feel comfortable: $943,000. They do this because they want to ensure they live a financially comfortable retirement in the face of spiralling medical costs and longer lives.

    Beyond the Numbers: Defining Wealth

    The survey also looked at what Americans think is “wealthy” and found it to be much more than a number. No comment about your physical or mental health or personal relationships: Unfortunately, while the average net worth to feel “wealthy” is $2.3 million by 2025 (or so think the survey-takers), they also place just as much weight on happiness (45%), physical health (37%), mental health (32%), and strong personal relationships!

    The changing definitions of financial comfort from generation to generation illustrate how economic security is anything but static in a shifting world. The actual numbers might be different, but the need to be secure in one’s position and to be able to live without constant financial anxiety is universal.

  • Global Economy Set for Weakest Run Since 2008 Outside of Recessions

    Global Economy Set for Weakest Run Since 2008 Outside of Recessions

    Washington, D.C. The World Bank’s Global Economic Prospects report predicts that this year will see the world economy slow to its weakest level since the 2008 financial crisis, but that a global recession can be prevented if rising trade disputes are settled.

    Released on June 10, 2025, the sobering outlook points to widespread economic downgrades and a dire outlook for the remainder of the decade, particularly for developing economies.

    A Decade of Reduced Development

    Worldwide growth is poised to decelerate to 2.3 per cent by 2025, a shade higher than half a point below its original forecast at the end of last year. It is not being predicted that there will be a full-blown global recession – but if forecasts prove accurate for the next two years.

    The average global expansion in the first seven of the 2020s would be slower than in any decade since the 1960s. This extended period of sluggish growth implies that headwinds for global economic dynamism remain entrenched.

    Causes of the Recession

    Elevated trade tensions and policy uncertainty are the main factors in the gloomy sentiment. The report indirectly points to an increase in trade barriers – such as tariffs – that have increased costs and prompted retaliatory steps around the world.

    It’s holding back investment and demand for capital goods, which account for over a quarter of aggregate demand. There are other issues beyond trade, including tighter labour markets driving inflation and a slowdown in global trade volumes, at work, too. Investment growth, meanwhile, has also decelerated despite record high levels of global debt.

    Impact on Developing Economies

    The slowing is especially troubling for emerging economies. Average annual growth within these countries has steadily ratcheted down over the past three decades, from north of 6% in the 2000s to below 4% in the 2020s.

    This trend reflects the fall in world trade. The report forecasts a deceleration this year in almost 60% of all developing economies; their rate of growth is unlikely to exceed 3.8% in 2025. This is more than a percentage point lower than the decade average. Slower growth mechanically undermines the ability of these countries to generate job creation, extreme poverty reduction and per capita income convergence with the advanced world.

    Average per capita income in developing countries is expected to grow by 2.9% in 2025 – 1.1 percentage points lower than the average of the twenty-first years of the century. But the World Bank cautioned that to the extent that developing economies (excluding China) grow at a projected 4% GDP rate in 2027, these and other countries would need another 20 years to recover their pre-pandemic growth trajectory.

    Path Forward: Cooperation and Reform

    The World Bank is calling on policymakers to act decisively to help to combat these risks. Wrapping up current trade disputes, for example, by cutting tariffs to half of their level in May 2025, would raise global GDP by an average of 0.2 percentage points in 2025 and 2026. The report urges renewed progress on integration with partners, further pro-growth reforms and strengthening fiscal resilience.

    “Dialogue between the major economies could lead to a more stable and prosperous path for the world economy”, said World Bank Group Chief Economist Indermit Gill, who added that a cooperative workout is necessary more than ever, and the world urgently needs to cut down on trade barriers and policy ambiguity.

    “For the developing countries, the report recommends that investment and trade links should be fostered, diversified trade should be sought and domestic revenues mobilised and customised to spend more on vulnerable households.

    The message is both stark: the challenges are immense – but collective action and reforms that are strategic can still help guide the world economy to a more resilient and equitable future.

  • FAO Investment Days 2025 Focuses on Boosting Agrifood System Investments to Create More and Better Jobs Globally

    FAO Investment Days 2025 Focuses on Boosting Agrifood System Investments to Create More and Better Jobs Globally

    ROME, Italy – Agrifood systems are the basis of global workers, currently providing employment for about 40% of the population. The result is an estimated 1.2 billion young people who will enter the workforce in the next decade and a growing consensus of the critical need for greater and smarter investment in these systems.

    That was the loud and clear cry from the 13th edition of the annual FAO Investment Days 2025, a two-day forum from 9 to 10 July on the theme “Investing for More and Better Agrifood Jobs”. The event underscored the great potential of agrifood systems to help meet the rising challenge of youth employment and to drive sustainable development globally.

    Why FAO Investment Days 2025?

    Organized within the frame of the FAO Investment Days 2025, the Summit was an essential platform that congregated stakeholders from different backgrounds: forward-looking minds, successful entrepreneurs, innovators engaged in production and both public and private investors from all over the world.

    They had a common objective: to jointly reflect around specific trajectories and proposals for action so as to transform agrifood systems into solid drivers of inclusive growth and decent work. The forum provided a forum for rich discussion, shared experiences and exchanged best practices on how investing now can change the future for rural and urban young people.

    Key Focus Areas and Themes

    Deep-dive discussions during FAO Investment Days 2025 did just that, examining the complex landscape of agrifood employment in developing countries. Themes discussed included the critical role of productivity growth from technology utilization and environmentally sustainable activities; the implications of demographic change for labour supply and demand; and the dynamics of labour migration within and between borders.

    Access to finance for smallholder farmers and agribusinesses, especially for youth-led projects, was a common theme, as was the changing skills requirement amid rapid technology improvements. Participants also considered supportive policies and enabling environments, such as strong legal protection and streamlined regulation, as actively promoting job creation and innovation.

    An important thrust was to promote local value addition and enterprise development through agrifood value chains, which have great potential for providing decent employment, particularly for youth.

    Statements from Key Figures

    “The distance between the youth labour market and the constraints it faces in the job market is simply alarming,” said FAO Director-General QU Dongyu, adding that “we need to think bigger and deeper” to reactivate the “we reach time urgent” to reach the youth labour market.

    He pointed out the FAO remained committed to linking agricultural producers, rural entrepreneurs and agribusinesses with the financing and markets they need to build resilience in fragile communities and foster sustainable growth.

    Relevant FAO Work and Reports

    Key attention was also brought to the lasting commemoration of FAO’s commitment to investing in agrifood systems during the event. The FAO Investment Centre has a proven track record and is celebrating 60 years of successful operations.

    Last year alone, the Centre supported the development of 51 public investment projects across 36 countries, worth a total of $7.3 billion, and ongoing projects worth more than $49.5 billion. One recent significant FAO report, “The State of Youth in Agrifood Systems”, offered a stark context for the talks.

    The report exposed that 44% of working youths globally are working in agrifood systems. It pointed out that more than 20% of the world’s 1.3 billion young people (15-24) are currently classified as not in employment, training or education (NEET), and that young women are twice as likely to be NEET in comparison to young men.

    The report’s conclusions estimate the creation of only some 400mn new jobs in all sectors over the coming ten years, a figure that pales in comparison to the swelling number of young people who will soon need a job. This wide chasm sounds the call to interventions. Most significantly, the report indicates that with smart interventions, agrifood systems alone could generate 87 million new jobs.

    Potential Impact and Forward-Looking Statement

    As Investment Days 2025 came to an end, the message of investment strategies and inclusive action rang true among the participants. The forum confirmed (once more) that the transformation of our agrifood systems is not only an economic must but a profound societal imperative.

    In doing so, we pave the way to a future that is more food secure, more resilient, and more prosperous for all.” “Through building sustainable growth, boosting productivity and working to provide more and better jobs to the increasing population of young people, we can leave behind a more food-secure and more prosperous future for everyone.

    The commitment offered today shows the world’s determination to unlock the great potential of agrifood systems to respond to very real job opportunities and make the world a place where every young person can find their place.

  • 8 Steps to Building an Emergency Fund

    8 Steps to Building an Emergency Fund

    Life is unpredictable. From unanticipated medical issues to surprise job loss or an emergency home repair, financial emergencies have a way of shattering even the best of plans. That is when an “emergency fund” becomes your most important financial asset.

    This article provides “8 Steps to Building an Emergency Fund” to serve as your personal financial safety net. Discover “how to save money in an emergency fund” the right way, and it gives you peace of mind yet keeps your long-term financial goals safe from unexpected emergencies.

    1. Why You Need an Emergency Fund FIRST off: Does it actually make sense?

    The Main Reason: Protecting Your Financial Future

    What it is: A set-aside pile of instantly accessible cash (and only cash) for unexpected but necessary expenses.

    Why It’s Crucial:

    • No Debt: Stops you from using expensive credit cards or personal loans when you need them the most.
    • Safeguards Investments: Prevents you from surrendering long-term investments (such as SIPs, FDs or shares) at a loss.
    • Helps Ease Stress: It can soothe the minds of those who find themselves easily worried over not knowing what the future holds.
    • Economic Recovery: Makes it so you can rebound from challenges more quickly.
    • Analogy: It’s the equivalent of the spare tire for your financial journey — you hope you never need it, but when you do, you’re profoundly glad to have it.

    2. Here are the 8 Steps to Building an Emergency Fund

    8 Steps to Building an Emergency Fund

    Step 1: Determine the Goal (How Much Do You Need?)

    • Practical Tip: Total up 3-6 months of nitty-gritty living expenses (fixed expenses like rent or EMI, utilities, groceries, commuting costs, and insurance premiums). Don’t include discretionary spending.
    • Considerations: Your job security, number of dependants and health conditions will probably affect whether you are aiming for 3, 6 or even 12 months.
    • Example (Indian Context): If your monthly essential expenses are ₹30,000, then your target could be ₹90,000 (3 months) to ₹180,000 (6 months).

    Step 2: Open an Account for Your Emergency Fund

    • Practical Tip: Get a new term deposit or PPF account or open another bank savings account (Keep the account at a different bank than your regular account). Keep your emergency fund in a separate savings account or liquid mutual fund.
    • Why: Separates money from daily spending to prevent the accidental spending of cash. Ensures liquidity.
    • Considerations: Choose safety over high returns Accessing your money is easier than ever.

    Step 3: Set Up Automatic Contributions (“Pay Yourself First”)

    • Practical Tip: Schedule an automatic transfer from your main bank account to your emergency fund account every time you get paid.
    • Why: It takes willpower out of the equation. Ensures consistency. These little, regular amounts do add up.
    • Example: Automate ₹2,000 or ₹5,000 per month.

    Step 4: Cut Other Things Away (Find ‘Found Money’)

    • Practical Tip: Keep an eye out for “money leaks” such as unused subscriptions, daily impulse purchases, and purchases made on impulse.
    • Why: You can put every penny you save on unnecessary expenses directly into your emergency fund, which will ultimately increase the amount.

    Step 5: Increase Your Income (Boost Your Fund)

    • Practical Tip: You might explore temporary side hustles, freelancing, selling unused stuff or working more hours.
    • Why: Supplementary earnings can be applied 100% toward beefing up your emergency fund sooner without affecting your normal budget.

    Step 6: Put a Hold on Other Investing (if needed)

    • Practical Tip: At the cost of a few per cent for a short period of time, temporarily park all non-retirement investments (general SIPs, etc.) in the emergency fund account till it is fully funded.
    • Why: Your emergency fund is your financial planning; it takes precedence over aggressive investment growth in the early going.

    Caveat: Don’t stop your retirement savings if you can possibly avoid it, especially if you receive an employer match.

    Step 7: Handle Windfalls Wisely

    • Practical Tip: Funnel all surprise money (a tax refund, bonus, gift, or inheritance) into your emergency savings.
    • Why: Windfalls bring shortcuts to your goal.

    Step 8: Don’t Spend It (Except for Emergencies!)

    Practical Tips: Be explicit on what is an emergency. It’s for job loss, a medical crisis, to fix the car or home, not that bleeping new gadget or that night on the beach.

    Why: You’re defeating the purpose of the emergency fund, and you’re potentially leaving yourself exposed.

    3. Staying on your emergency fund

    Keep It Full and Handy

    • Replenish: If you need to shed some money, then let building it back up be the first thing you do with your money.
    • Review: Every year, review your list of critical costs, and adjust your fund target as your life situation or cost of living changes.
    • Place: It should be in a safe and liquid place, such as another savings account or a fixed deposit (FD) which has an auto-renewal and partial withdrawal facility. Avoid illiquid investments.

    Conclusion

    To sum up, steps to building an emergency fund include setting a target, establishing a separate account, setting up regular contributions, slashing expenses, increasing earnings, and addressing windfalls strategically.

    But building an “emergency fund” isn’t just about money; it’s about constructing resilience and peace of mind and giving yourself the flexibility to work toward your financial goals without being derailed by an unwelcome surprise. It’s the silent protector of your future.

    Call to Action

    Today, even if it requires baby steps, begin the process of building this fundamental security blanket.

    Frequently Asked Questions

    1. How large should an emergency fund be?

    The most widely used rule of thumb is 3 to 6 months of essential living expenses. But if you have a less stable income, dependents or certain health issues, 9-12 months might make more sense.

    2. Can I invest my emergency fund, or does it need to be in a savings account?

    It needs to mostly be in a very liquid and safe account, e.g., a high-yield savings account or a short-term FD with easy withdrawal. Stay away from risky investments like stocks.

    As you may need the money at a time when the markets are in a funk. Some others invest in ultra-safe liquid mutual funds, but make sure you get to know about their instant redemption facility.

    3. If it’s my money, can I do whatever I want with my emergency fund?

    It’s your money, but an emergency fund serves a very defined purpose: unexpected, unavoidable financial emergencies.

    Its very application for non-emergency situations (like a holiday, a new toy, or impulse shopping) debases it and leaves you unprotected when an actual tragedy strikes.

    4. What details differentiate an emergency fund from general savings?

    General savings could be for certain goals, like a down payment on a house, a car or a trip. An emergency is not “wanting to have more money to meet your monthly obligations if you have an emergency”.

    An emergency fund is for UNFORESEEN emergencies only, such as job loss, medical emergencies or a major home repair. It is a financial airbag, not a goal-orientated savings account.

  • 10 Habits to Help You Reach Financial Freedom

    10 Habits to Help You Reach Financial Freedom

    “Financial independence” has long been a dream that seems out of reach, the privilege of the rich or the very lucky. But what if that strength is actually accumulated through the small, daily actions you take day in and day out?

    This article shows the “10 Habits to Help You Reach Financial Freedom”. Through the implementation of these foundational daily and weekly practices, you can change your relationship with money, jump-start your savings, and purposefully navigate your life toward an enduring financial independence.

    1. Habits that boost Your Financial Goals

    Why It’s Habits, Not Goals, That Will Get You To Your Financial Promised Land

    Goals are objectives, but habits are the processes that allow you to reach those endpoints. Small repeatable right choices plus time equals anything. Strive to master these financial habits, and you’ll be well on your way to big results with your personal finances.

    2. The Following 10 Habits to Help You Reach Financial Freedom

    10 Habits to Help You Reach Financial Freedom

    1. Control Your Finances (Know where every Rupee goes)

    • The Habit: Continuously monitor your income and expenses. Know your cash flow.
    • How to Grow: By using budgeting apps (cough, Wallet, cough, Expense Manager) or spreadsheets, or even just a plain old notebook. Review weekly to adjust.
    • Why It Works: Identifies “money leaks”, permits intentional spending and exposes new saving opportunities.

    2. Pay Yourself First (Your Savings Account Should Be Automated)

    • The Habit: Make saving/investing a priority by setting money aside right after you get paid, even before you spend on anything else.
    • How to Grow: Arrange for automatic transfers to an account set aside for savings or investment. Invest in mutual funds through SIPs.
    • Why It Works: It takes willpower out of savings, automates good behavior and accumulates wealth without you thinking about it.

    3. Don’t live beyond your means.

    • The Habit: Consciously consume less than you earn — regardless of income bracket.
    • How to Grow: Practice mindful spending, distinguish between needs and wants, and don’t start incorporating lifestyle creep as your income grows.
    • Why It Works: It generates a surplus to save and invest, which shortens the time frame toward financial independence.

    4. Never Stop Learning About Personal Finance

    • The Habit: Get good at investing, taxes, managing debt, and the lay of the market land.
    • How to Grow: reading books, following reliable financial blogs/news (ET Markets, Livemint), listening to podcasts, and attending webinars.
    • Why It Helps: Enables you to take charge of your decisions, stay ahead of the scammers, and adjust to shifts in the financial landscape.

    5. Pay Down Debt (Especially High-Interest Debt)

    • The Habit: Make a conscious effort to pay off and eliminate expensive debt.
    • How to Grow: Apply debt repayment strategies (snowball versus avalanche), pay more than the minimum and a new kind of try to stay away from new high debt.
    • Why it Works: It allows for more money to be saved or invested and eliminates wealth-robbing interest payments.

    6. Diversify Your Investments

    • The Habit: Diversify your money among asset classes, industries and geographies.
    • How to Grow: Put your money in a combination of equity and debt funds, gold (say via SGBs or ETFs), and maybe real estate (direct or REITs). Rebalance your portfolio periodically.
    • Why It Works: It lowers your risk by avoiding any one investment underperforming and blowing up your entire portfolio.

    7. Think Long Term (Be Patient & Disciplined)

    • The Habit: Develop a laser focus on your long-term objectives and refuse to let short-term blips in the market turn you into a reactionary panicker.
    • How to Grow: Recognize the power of compounding in a period of decades. Avoid market timing. Don’t check your portfolio daily.
    • Why It Works: You allow your investments to weather market tumult and realize the true benefits of compounding.

    8. Check in and Modify Your Plan Regularly

    • The Habit: View your financial plan as a living document and not a one-time exercise.
    • How to Grow: It Plan for one (or two) reviews per year to track progress, evolve goals, change budgets and rebalance investments as life shifts (new job, marriage, children).
    • Why It Works: Secures the alignment of your plan with how your life and wealth have developed.

    9. Safeguarding Your Assets and Income (Insurance and Emergency Fund)

    • The Habit: Get sufficiently insured for the biggest financial risks of life.
    • How to Grow: Keep a healthy emergency fund. Ensuring you have proper medical insurance, term life insurance and even disability insurance.
    • Why it works: It keeps unexpected events – such as an illness, accident or job loss – from torpedoing your financial progress and forcing them to sell investments.

    10. Professional Guidance When Necessary

    • The Habit: Don’t be afraid to seek out expert advice when you need it.
    • How to Grow: In case of a complex situation or personalized strategy, feel free to consult a SEBI-registered financial planner, tax advisor or investment expert.
    • Why it Works: Cut through obscurity to make sure you’re hitting the right numbers, validating your plans, optimizing tactics and avoiding demoralising mistakes.

    Conclusion

    In short, the “10 habits that help you achieve financial freedom” stress the collective effect of routine. Financial freedom isn’t about some magical unicorn; it’s about small daily habits of consistency, discipline and wise choices.

    And when you bring these “smart money habits” into your life, it’s no longer just about growing your account balance; it’s about building a life of security, choice, and peace of mind. Keep going and watch the story of your financial fate change.

    Call to Action

    Choose 1-2 habits in this guide to develop now and be committed to keeping them a permanent part of your life.

    Frequently Asked Question

    1. How long does it take to form these financial habits?

    Research estimates it takes anywhere between 18 and 254 days for an action to become a habit. Consistency is key.

    Begin with one to two habits that you find easiest to incorporate and grow from there. But do not strive for perfect progress.

    2. I don’t make a tonne of money; can these practices still help me to achieve financial independence?

    Absolutely. Okay, so being financially free isn’t too much about just having a lot of money – it’s really about managing what you have efficiently.

    While budgeting, living below your means, eschewing high-interest debt and lifelong learning are more important for people with lesser means, well-to-do individuals can find value in these habits, too. They are there to make sure you make the most of each rupee you earn.

    3. How can I get started on this list if I absolutely had to pick one?

    Although related, the practice of PYF (automating savings) is generally the most impactful and immediate of all. It will create a steady stream of money towards your needs, using a mechanism that does not rely on willpower alone.

    4. How can I continue being motivated to both develop and maintain these habits in the long run?

    Regularly check in on your “why” – your specific financial goals. Visualise achieving them. Celebrate small milestones.

    Through an accountability partner or a financial community. And keep in mind that it’s consistency – not intensity – that’s the key to the long term.

    5. Can you be rich in means but not property-rich, with no inheritance?

    Absolutely. Financial freedom is when you have enough passive income to pay for the lifestyle you desire – the point at which you have choices, flexibility and security.

    This can be accomplished by investing in stocks, bonds, mutual funds or other income-generating investments, not necessarily property. It’s something many accomplish through years of disciplined saving and intelligent investing.

  • Global Trade Update (July 2025): Global trade endures policy changes and geoeconomic risks

    Global Trade Update (July 2025): Global trade endures policy changes and geoeconomic risks

    Consider the most recent UNCTAD Global Trade Update is showing global trade growing by about $300 billion during the first six months of the year. But this growth is swamped by continuing policy uncertainty and rising geoeconomic risks.

    The report, which includes commentary from the WTO, details new US duties, escalating trade imbalances, and the growth of digital market dominance as leading drivers of global trade in the second half of 2025. Decisions for businesses and policy are challenged by a complicated environment that requires flexibility and strategic robustness.

    What Did Industry 2025 Trade Look Like: Growth Obscured by Turbulence

    In the first half of the year, world trade increased by $300 billion, a modest increase in an environment of continued volatility. UNCTAD growth rates were 1.5% in Q1 and forecasted to be 2% in Q2.

    Trade in services remained a critical engine, growing by 9% in the past four quarters, showing its resilience. It is important to note that with the total value of trade, the overall volumes of trade, which increased by only 1%, this implies that there were significant price increases contributing to the total value of the trade.

    There was a regional reversal, with advanced economies outperforming emerging markets. The United States recorded strong import growth of 14 per cent, and the European Union saw a 6 per cent increase in exports. By contrast, trade within the South-South also stalled even though growth within Africa was robust.

    The report also emphasized deepening trade disequilibria, as the US trade deficit expanded and China and the EU registered increased surpluses, representing structural changes in global trade flows.

    Policy Alterations: U.S. tariffs spark decline in global trade stability.

    Trade fragmentation is flaring up, destabilising the global system, with recent trade policy changes, led by the United States, being the triggering event. U.S. President Donald Trump formally recommended new 25% tariffs on Japanese and South Korean imports to take effect on August 1 unless new trade deals are drawn up. This follows a wider US trade policy that has impacted 14 countries since April.

    This belligerent approach mirrors previous warnings from the WTO, which revised down, in April 2025, its estimate for the global volume of goods trade to fall by 0.2% in 2025. The biggest risks to the global economy, it said, are the full restoration of these “reciprocal tariffs” and the potential for further conflict that could drive an even steeper 1.5% decline in global trade.

    Such US tariffs and potential countermeasures carry a high risk of trade dispersion, to the detriment of close-knit production chains that could even destabilize supply chains globally. These protectionist pressures are being compounded by the growth of domestic subsidies and protectionist industrial policies. For detailed analysis on the WTO’s revised trade outlook due to tariff escalations, refer to this EFG International report.

    Geoeconomic Risk and the Shifting Digital Market

    Beyond the more immediate effects of tariffs, the UNCTAD report highlights a wider range of geoeconomic risks affecting the global trade outlook. Policy uncertainty, reinforced by the backdrop of geopolitical tensions and realignments of global power, maintains an uncertain business environment. Indications of a slowdown in the world economy also reinforce this cautious approach.

    A new strand in the focus of the UNCTAD report is the increasing concentration in digital markets. The leading five multinational digital firms now control a whopping 48% of the world’s sales, prompting concerns over competition and consumer welfare.

    Such dominance has already begun to trickle into government regulation and shifts in trade policy with respect to digital technologies. Despite this difficult task, there are positive indicators of new forms of resilience, such as improving freight indices and stepping up regional integration efforts.

    Outlook: Navigating Uncertainty for Resilience

    The Great Trade Review (July 2025) features an era of high economic uncertainty and the necessity of adaptation.

    “Resiliency in global trade will be determined to a great extent by ‘policy clarity, geoeconomic events, and supply chain adaptability’ in the second half of 2025 as countries and firms find their way through the ever-changing and complex risk environment,” Boustany reported.

  • Trump threatens to impose up to 200% tariff on pharmaceuticals ‘very soon’

    Trump threatens to impose up to 200% tariff on pharmaceuticals ‘very soon’

    In a major decision announced Tuesday, July 8, 2025, President Donald Trump said his administration plans to levy tariffs of as much as 200% on pharmaceuticals imported into the U.S., and implementation of the levies could occur “very shortly” and be implemented after about a yearlong transition period.

    This is a provocative initiative to encourage domestic drug manufacturing and lessen dependence on overseas supply chains for national security reasons. The threat sent an immediate chill through the global pharmaceutical industry and led to concerns that there could be effects on drug prices for American consumers.

    The Tariff Threat: Details and Context

    President Trump directly indicated that his administration would “reshore” the manufacturing of drugs to the United States. At a Cabinet meeting, he announced, “We’ll be announcing something on pharmaceuticals soon.”

    He, however, said the tariff would perhaps be set “at a very high rate, like 200%,” and allowed a period of adjustment — “We’re going to give people about a year, year and a half to come in, and after that they’re going to be tariffed if they have to bring the pharmaceuticals into the country.”

    This announcement comes after a probe of drug imports was launched in mid-April 2025, according to Section 232 of the Trade Expansion Act, authorising tariffs on national security grounds. US Commerce Secretary Howard Lutnick said investigations into both pharmaceutical and chip imports are set to end at the end of July.

    This threat is part of a larger package of recent tariffs declared by the Trump administration – which also includes 50% tariffs on copper imports and a new round of “reciprocal tariffs” on 14 countries – that are set to be implemented on August 1, 2025, unless new trade agreements are negotiated.

    Dependence on Foreign Pharmaceutical Supply Chains

    The relevance of these suggested tariffs is that the United States is heavily dependent on international supply chains for its medicines. The US pharma industry imports a lot, especially the Active Pharmaceutical Ingredients (APIs) and generic finished drugs. The US imported approximately $234 billion worth of medicinal and pharmaceutical products in 2024.

    The largest suppliers include Ireland, Switzerland, Germany, Singapore, and India by value. On the other hand, by value, China and India remain the largest suppliers, with a combined share of 57.6% in the drug import total in 2023. China alone is a major supplier for a number of critical drugs, and most imports for medicines like ibuprofen, hydrocortisone and penicillin rely on the country.

    The administration’s justification for these tariffs is a concern that this large reliance on other countries, particularly for life-saving drugs, is actually a major national security vulnerability.

    Potential Effects: Prices, Supply, and Industry Reaction

    The fallout over the 200% tariff on pharmaceutical imports is feared to be the main drawback. The most immediate and farthest-reaching effect would be a sharp increase in drug prices for American consumers, especially for generic and lifesaving drugs that depend on these imports.

    Even if companies can quickly switch to domestic manufacturing or find new, tariff-free sources, such a sharp tariff could also result in widespread supply chain disruptions and exacerbate drug shortages that already plague the United States.

    Some drug manufacturers had already started announcing plans for US production ahead of policy changes, albeit before President Trump took office, a trend which these new tariffs are sure to accelerate.

    Pharma shares, especially Indian drug makers with a prominent US presence such as Lupin, Sun Pharma and Dr. Reddy’s, closed mixed on Wednesday after the news was reported, reflecting the overall market uncertainty.

    Yet moving complex pharmaceutical production would be costly and time-consuming, making it next to impossible for the industry.

    Outlook and Policy Path Forward

    President Trump’s overt threat to impose steep pharmaceutical tariffs opens a new chapter in his trade agenda, which is set on a sweeping remake of the United States’ drug supply chain.

    While the precise extent to which the industry will be affected by any proposed policy remains uncertain, it is undoubtable that the administration’s commitment to increasing domestic pharmaceutical manufacturing and decreasing reliance on exports highlights the urgent need for global pharmaceutical companies to focus on future prospects of the pharmaceuticals in the U.S. market. More on the Section 232 investigation into pharmaceutical imports can be found in this DLA Piper insight.

  • China CPI inflation rises marginally in June, PPI shrinks for 33rd month

    China CPI inflation rises marginally in June, PPI shrinks for 33rd month

    China’s National Bureau of Statistics (NBS) today, July 9, 2025, released its latest inflation figures, painting a mixed economic picture. The China CPI inflation saw a marginal 0.1% year-on-year rise in June, reversing four months of declines.

    However, the China PPI (Producer Price Index) continued its prolonged slump, contracting by 3.6% year-on-year, marking the 33rd consecutive month of shrinkage at the factory gate. This divergence highlights the ongoing challenge for policymakers: stimulating domestic demand to address deflationary pressures while managing industrial overcapacity.

    CPI’s Marginal Rebound: A Glimmer of Hope?

    Consumer prices in China edged up in June, offering a slight glimmer of hope for policymakers. The China CPI inflation registered a 0.1% year-on-year increase for June, snapping a four-month streak of declines, though it dipped 0.1% month-on-month. According to the NBS, this rebound is largely attributed to the government’s pro-growth fiscal and monetary stimulus packages aimed at boosting domestic consumption.

    A significant factor was the recovery in prices of broad industrial consumer goods, which saw their year-on-year decline narrow. Crucially, core CPI (excluding volatile food and energy prices) continued its upward trend, reaching 0.7%, marking a nearly 14-month high and suggesting some underlying improvement in demand.

    Specific categories contributing to the rise included daily necessities (up 0.8% year-on-year) and clothing prices (up 0.1% year-on-year). Even prices for gold and platinum jewellery saw significant increases, reflecting a shift in consumer spending patterns.

    PPI’s Prolonged Deflation: A Deep-Seated Challenge

    In stark contrast to the consumer side, China’s PPI continued its prolonged deflationary trend, dropping 3.6% year-on-year in June. This decline widened from May’s 3.3% fall and marks the 33rd consecutive month of contraction at the factory gate, representing the steepest fall since July 2023. On a month-on-month basis, the PPI decreased by 0.4%.

    This sustained deflation at the industrial level is primarily driven by subdued domestic demand and cautious consumer confidence. Analysts and the NBS point to persistent industrial overcapacity, which has led to fierce “price wars” across various sectors as manufacturers compete for limited demand.

    Additionally, lower energy prices, partly due to the growth of solar, wind, and hydropower, have reduced power generation costs. Pressure on export-reliant industries from slowing global trade and rising protectionism further exacerbates the decline.

    The implication of this deep PPI deflation is a squeeze on corporate profits, potentially leading to reduced investment, employment, and a broader drag on economic growth.

    Divergent Trends and Economic Implications

    The simultaneous marginal rise in CPI and prolonged shrinkage in PPI presents a complex paradox for China’s economic management. While a positive CPI is a welcome sign for consumption and suggests that stimulus efforts are having some effect on household spending, the deep PPI deflation indicates that manufacturers are struggling to pass on costs.

    This reflects fundamental weaknesses in industrial demand and highlights the challenge of overcapacity. The Chinese government continues to roll out efforts to stimulate the economy, including consumer goods trade-in policies and e-commerce promotions aimed at boosting domestic consumption.

    However, the People’s Bank of China (PBOC) faces a delicate policy dilemma: how to stimulate demand without exacerbating industrial overcapacity or introducing new financial planning. This ongoing factory-gate deflation in China could, however, have a broader impact, potentially helping to ease global inflation pressures, particularly for commodity prices, as China exports its excess supply at lower costs.

    Outlook and Policy Outlook

    While the marginal CPI rise offers a glimmer of hope for a demand recovery, the prolonged China PPI shrinkage signals that the Chinese economy is far from a robust and balanced recovery. The underlying issues of weak industrial demand and overcapacity remain significant headwinds.

    The focus for policymakers will continue to be on strengthening domestic demand, addressing industrial overcapacity through structural reforms, and fostering a more balanced economic structure to ensure sustainable growth and alleviate persistent deflationary pressures. For expert analysis on China’s economic outlook and policy challenges, consider reports from the Council on Foreign Relations.

  • As Trade Worries Linger, Edmond de Rothschild AM Prefers European Over US Equities

    As Trade Worries Linger, Edmond de Rothschild AM Prefers European Over US Equities

    Today, Edmond de Rothschild Asset Management (AM), a UK-based company with its headquarters in Paris, revealed a major strategic shift. In its outlook for the second half of the year, AM makes no secret of moving to a stance that is clearly pro-European and shorting US stocks relative to US stocks.

    The move comes amid increasing trade fears and a confusing geopolitical landscape. The firm notes that even as markets around the world continue to gyrate, Europe is becoming a more interesting investment story, relative to the US.

    Why We Are Underweighting US Equities

    Edmond de Rothschild AM’s sceptical view on US stocks is mainly due to the ongoing trade dispute and a murky US policy. This is how Benjamin Melman, Global CIO at Edmond de Rothschild AM, put it: “The US/China negotiations could last a long time, and those with Europe are not going to be simple.

    We have for the past six months been modestly underweight equities, particularly US equities, and in the dollar.” The new US tariffs rising on imports from Japan and South Korea, which will take effect on August 1 unless there are new trade pacts, dramatically demonstrate the erratic US trade policy further.

    Together with worries about the high asset valuations in the US market and policy risk in general, all that feeds into the firm’s prudential stance on US assets with a lesser exposure on their portfolios.

    European Stocks: A “Powerful New Narrative” It was a mixed start to the week, with economic data out of the Eurozone delivering support to the majors.

    Completely opposite to their view of the US market, Edmond de Rothschild AM is responding to an exciting ‘new narrative’ in Europe. “There is a real continent in the world, which is again in profound transformation, on the basis of new political and economic ambitions, and that continent is Africa,” said Caroline Gauthier, co-head of equities.

    There are a number of reasons for this good feeling. The industrial strategy also includes the “Draghi plan” on European competitiveness, which emphasises the need to promote innovation and reform competition law and is viewed as a serious booster.

    And the resurgence of German leadership along with rising defense spending across the continent will mean stronger economic prospects. This regained confidence can be seen in the strong recovery of Eurozone equities in 2025, with a spectacular +12% gain (+25% in USD terms), confirming Europe’s reassertion of its economic fate.

    The firm emphasizes the attractiveness of European small caps, noting the domestic nature of this category is “partly protected from trade-related tensions and dollar volatility” and is central to Europe’s manufacturing base and industrial innovation.

    Portfolio Strategy and Broader Considerations

    In global equities in general, the stance of Edmond de Rothschild AM is still slightly underweight, reflecting an overall cautious perspective in a context of market volatility. The move to bring in European equities is part of its strategy to diversify and to move into alternative asset classes that can still provide some level of resiliency.

    In addition to equities, the firm remains positive about short-term high-yield debt and other forms of fixed income which it deems “safe havens” on the basis of their high carry and economic cycle. Jacques-Aurélien Marcireau, co-head of equities, highlights a refocusing on themes such as resilience and health as the dominant macro investors’ trends that are driving investment in all asset classes around the world in order to build robust, innovative and adaptive portfolios. You can read more about Edmond de Rothschild Asset Management’s investment strategies and outlook on their official website. You can read more about Edmond de Rothschild Asset Management’s investment strategies and outlook on their official website.

    Conclusion

    The short-term outlook by Edmond de Rothschild AM highlights the fact that ongoing trade concerns and a shifting geopolitical environment are forcing investors to rethink conventional market hierarchies.

    The firm’s unique conviction in European equities, with particular emphasis on small caps, reflects a confidence in Europe to offer resilience and attractive investment opportunities in an increasingly fragmented and uncertain global investment landscape.