Singapore's GIC sees inflation and geopolitical tensions weighing on investments, highlights AI potential

Singapore's GIC said that despite recent macroeconomic resilience, risks remain to the investment outlook. – The Straits Times

SINGAPORE: Stubborn inflation, heightened geopolitical tensions and China’s tepid economy have weighed on the global investment landscape, dampening medium-term return prospects and making the risk-reward ratio less favourable, said Singapore’s sovereign wealth fund GIC.

But artificial intelligence (AI) could emerge as a bright spot, with faster adoption of the technology potentially driving productivity through areas like automation, predictive analytics and improved decision-making, it noted in its annual report on Wednesday (July 24).