Fundamental changes in political and economic spheres characterized 2016, and will continue to have far-reaching effects on the global business environment in 2017 and beyond. These changes spanned regions across the world as nationalist political movements took root in various countries, challenging the prevailing orthodoxy and status quo. The new leadership, with diverging and often contradictory ideas, is poised to have a lasting impact on how countries and economies interrelate. 2017 is shaping up as a repudiation of current political and economic policies, which is likely to create uncertainty in the global economic and business environment.
Historically, financial markets abhor uncertainty, and enterprises tend to invest less in uncertain times. Lower investments will have a dampening effect on overall global economic growth. The Conference Board projects economic growth to continue to stagnate into 2017.