Understanding the Index Framework
Global Investment Risk and Resilience Index 2025: The Global Investment Risk and Resilience Index 2025 evaluates how countries manage investment risk while sustaining long-term resilience. It captures a world shaped by geopolitical tensions, economic uncertainty, technological shifts, and climate stress.
The index uses two core pillars. Total Risk Score measures political, economic, legal, regulatory, and climate-related risks, where a lower score is better. Total Resilience Score assesses governance quality, institutional strength, innovation capacity, and social stability, where a higher score is preferred.
Static GK fact: Global investment indices often combine macroeconomic stability, governance indicators, and institutional capacity to assess country-level investment attractiveness.
Global Leaders in Investment Resilience
The Top 10 countries in 2025 are dominated by European and Nordic economies. Switzerland leads globally with an overall score of 88.42, reflecting extremely low risk and high institutional resilience. Denmark, Norway, and Sweden follow closely due to strong welfare systems and policy stability.
Singapore stands out as the only Asian country in the top 10. It records the lowest legal and regulatory risk globally, supported by policy predictability and strong governance.
Static GK Tip: Nordic countries consistently rank high in global governance, transparency, and social trust indices.
Fragile Economies at the Bottom
The Bottom 10 countries face severe constraints. Lebanon, Haiti, and Pakistan rank lowest due to high political risk, weak regulatory capacity, and economic instability. These nations struggle with limited institutional ability to absorb shocks.
African nations like Nigeria, Chad, and Sierra Leone also rank low, reflecting persistent governance challenges and exposure to climate and commodity risks.
Static GK fact: High investment risk often correlates with fragile political systems and limited fiscal space.
India’s Position in 2025
India is ranked 104th in the Global Investment Risk and Resilience Index 2025 with an overall score of 54.42. Its Total Resilience Score of 49.76 indicates moderate adaptive capacity, but its overall position is weakened by an elevated risk profile.
India shows strengths in market size, demographic dividend, and innovation potential. However, these advantages are offset by regulatory complexity and climate exposure.
Key Investment Risks for India
India faces regulatory uncertainty, particularly in land acquisition, taxation consistency, and policy implementation across states. Political risk remains moderate but varies regionally.
Climate vulnerability is a growing concern. India is exposed to heatwaves, floods, and cyclones, which directly affect infrastructure and productivity.
Static GK fact: India is among the top climate-vulnerable countries due to its long coastline and monsoon-dependent economy.
Resilience Strengths and Way Forward
India’s resilience stems from digital public infrastructure, a growing startup ecosystem, and institutional reforms. Programs promoting manufacturing, infrastructure expansion, and financial inclusion support long-term adaptability.
To improve its ranking, India needs stronger regulatory predictability, climate-resilient infrastructure, and enhanced institutional coordination.
Static GK Tip: Long-term investment resilience depends on balancing growth with governance and environmental sustainability.
Static Usthadian Current Affairs Table
Global Investment Risk and Resilience Index 2025:
| Topic | Detail |
| Index Name | Global Investment Risk and Resilience Index 2025 |
| Released By | Henley & Partners with AlphaGeo |
| Top Ranked Country | Switzerland |
| Best Asian Performer | Singapore |
| Lowest Ranked Country | Lebanon |
| India Rank | 104th |
| India Overall Score | 54.42 |
| Core Risk Factors for India | Regulatory uncertainty, climate exposure |
| Core Resilience Drivers for India | Market size, digital infrastructure |
