Page 12 - Policy Economic Report - Jan 2026

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

In 2025, the global economy was marked by the upheaval in international trade rules and tariff rates, led
by the United States. Trade supports around 465 million workers worldwide, more than half of them in
Asia and the Pacific, and the uncertainty is cutting into workers’ wages, especially in Southeast Asia,
Southern Asia, and Europe.

Responding to the findings in the report, ILO Director-General Gilbert Houngbo called for coordinated
action and stronger institutions to advance decent work and social justice, particularly in poorer
economies that risk being left behind.

3. Global Energy Transition investment reached record $2.3 Trillion in 2025, up 8% from 2024-
Bloomberg NEF

Bloomberg NEF’s (BNEF) annual Energy Transition Investment Trends (ETIT) finds that global investment
into the energy transition hit a record $2.3 trillion in 2025, up 8% from the prior year. The largest
investment drivers were electrified transport ($893 billion), renewable energy ($690 billion), and grid
investment ($483 billion); and other include hydrogen ($7.3 billion) and nuclear ($36 billion).

The report finds that clean energy supply investment also outpaced fossil fuel supply for a second
consecutive year in 2025, with the gap widening to $102 billion from $85 billion in 2024. While clean
energy investment continued to grow, fossil fuel supply investment fell for the first time since 2020,
declining by $9 billion year-on-year. This drop was driven mainly by reduced spending on upstream oil and
gas (-$9 billion) and fossil power generation (-$14 billion), although these were partly offset by higher
investment in gas and coal. However, despite energy transition investment being at an all-time high,
growth has slowed steadily, from 27% in 2021 to 8% in 2025.

Figure 7: Energy transition investment reaches $2.3 trillion in 2025

Source- BloombergNEF Page | 11

January 2026