Geopolitical Volatility Emerges as a Top Business Threat in 2025, Yet Monitoring Remains Sparse
A 2025 survey identifies geopolitical volatility as a top global business risk, but few companies actively monitor these threats, highlighting a preparedness gap.
- • Geopolitical volatility entered the top ten global business risks in 2025, rising 12 positions since 2023.
- • Only 14% of organizations monitor their exposure to geopolitical and other key risks, with 19% using quantitative insurance analytics.
- • Cybersecurity remains the leading concern, complicated by AI advancements.
- • Climate change rose to 9th place among expected risks by 2028, reflecting financial worries from extreme weather.
Key details
The 2025 Global Risk Management Survey by insurance broker Aon reveals geopolitical volatility as one of the top ten global business risks, rising steeply from 2023 to reflect the increasingly unstable global environment affecting supply chains and financial performance. Despite nearly 3,000 risk managers across 63 countries acknowledging this escalation, only 14% of organizations actively monitor their exposure to such risks, with just 19% employing quantitative analytics to assess insurance programs.
Cybersecurity remains the most critical risk, complicated by advances in artificial intelligence, as noted by Brent Rieth from Aon. Other key threats include business disruptions, economic slowdown, and regulatory changes. Climate change has climbed to the ninth position among anticipated risks by 2028, highlighting growing concerns over extreme weather events and their financial impacts. Lisa Stevens of Aon emphasized the persistent importance of human capital, despite workforce-related risks falling out of the top ten.
Joe Peiser, Aon's Chief Commercial Risk Officer, highlighted the perpetual nature of volatility and uncertainty today, underscoring the need for better risk monitoring and management. This data underscores a gap between increased risk awareness and organizational preparedness, especially among Brazilian and global companies navigating this volatile landscape.