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Public and Regulatory Affairs
The Top Five Policy Issues in 2024
Read our paper on the biggest and most influential policy issues being faced by the global community.
The Top Five Policy Issues paper offers an overview of the public policy trends influencing our societies and rewiring the global order in 2024. Developed by Standard Chartered Bank’s Group Public & Regulatory Affairs, our structured analysis shows that long-term trends of technological advancements, demographic shifts and climate change are beginning to intersect, and in some instances compound impact.
Read a summary of the most important, dynamic and influential policy issues and download the paper for more details.
1. Primacy of power: Red-line paradigm
The global order is increasingly defined by power dynamics: who has it, who is willing to use it, and under what circumstances. Threats, deterrence, and avoidance of “red-lines” are becoming the mechanism through which foreign policy boundaries are set. Therefore, the level of uncertainty and turbulence in the system is rising, and the risks of unintended consequences from miscalculations or accidents has increased. At the same time, the ability of so-called middle powers to effectively question the status quo has also risen.
Policy questions: Will governments form new or different alliances? To what extent will the 70+ elections taking place in 2024 impact the interaction between countries?
2. Weakening institutional legitimacy: Rulemaking and convening power
Existing institutions (global, regional, domestic) are more fragile today than five years ago. Their legitimacy has been challenged and their two primary functions weakened: rule-setting and convening power. While the contours of a new institutional framework are beginning to take shape, it is unclear whether these more regionally or ideologically aligned groupings will be any more effective or durable.
Policy questions: Will existing institutions be able to evolve to meet the legitimacy challenge or will they be replaced; if so, by what? How will the system of governance operate in the transition?
3. Energy transition: Access, availability and affordability
Providing access, availability, and affordability of energy has become central to the energy transition, superseding commitments on climate change as the world increasingly comes to terms with the fact that international efforts to limit the global temperate rise to 1.5°C are not progressing fast enough.
Policy questions: How does energy transition proceed when confronted by energy security? Given a lack of global consensus, who will hold public and private actors accountable for their existing commitments?
4. Technology in banking: Competition, collaboration, or control
The rapid proliferation of generative AI and high-profile events impacting market confidence, integrity and transparency demonstrated the negative consequences of unregulated technology operating in the financial sector. The challenge confronting policy makers is how to realise the potential of emerging technologies to become competitive on the global stage, while controlling the downside risks.
Policy questions: Will internationally aligned standards be established for emerging technology, or is technology the vector along which economies compete? How will this impact the banking sector?
5. Societal transition: Demographics compound insecurity, inequality and inequity
The implications of differences in global population growth between major economic powers with declining populations (e.g., Europe, China) and developing economies with larger youth populations (e.g., India, Sub-Saharan Africa) exacerbate societal vulnerabilities following the Covid-19 pandemic, resultant macro-economic policy and build-ups of sovereign debt.
Policy questions: Can countries with older populations make the politically difficult adaptations to remain solvent and economically competitive? Can developing economies with younger populations find the resources necessary to develop their workforces for the industries of the future to effectively compete?
For more information, please contact Group Public & Regulatory Affairs at analysis.gpra@sc.com