The UK economy shrank by 0.1% in October, marking the second consecutive monthly contraction, according to official figures from the Office for National Statistics. This unexpected decline, defying economists' forecasts, has fueled concerns ahead of the Autumn Statement and intensified calls for interest rate cuts.
Abdel Aziz El-Sherif, Head of the Egyptian Commercial Service, concluded high-level meetings in Madrid to bolster economic, trade, and investment ties with Spain. Discussions focused on enhancing cooperation and culminated in plans for a joint economic dialogue and business forum in the first half of 2026, building on recent bilateral engagements.
A recent European Investment Bank (EIB) report highlights Bulgaria's persistent struggle with the lowest investment activity among EU member states. Geopolitical and domestic uncertainties, coupled with challenges like skilled staff shortages and regulatory compliance, continue to deter investment, despite some cautious optimism among businesses.
Saudi Arabia's Cabinet approved the 2026 budget on December 2, 2025, outlining expenditures of 1.313 trillion SAR ($350 billion) and revenues of 1.147 trillion SAR ($306 billion), resulting in a projected deficit of 165 billion SAR ($44 billion). The budget emphasizes Vision 2030 goals, non-oil sector growth, and citizen welfare.
Federal, Provincial, and Territorial Ministers of Housing and Infrastructure met in Toronto on December 8, 2025, to discuss accelerating infrastructure projects and strengthening Canada's economy. Key topics included the new $51 billion 'Build Communities Strong Fund' and 'Buy Canadian' strategies, emphasizing collaborative action to meet national infrastructure needs.
The Reserve Bank of Australia (RBA) has maintained the official cash rate at 3.6% following its final monetary policy meeting of 2025. This widely anticipated decision comes as recent inflation figures remain above the RBA's target band, despite signs of economic recovery and a cooling labour market in Australia.
Germany's industrial production saw an unexpected and robust increase of 1.8% in October 2025, significantly surpassing market forecasts for a decline. This marks the strongest monthly gain since March, driven by key sectors like data processing equipment and mechanical engineering, signaling a potential economic rebound for Europe's largest economy.
Nigeria, Belgium, and Luxembourg have officially endorsed a new Livestock Investment and Cooperation Platform. This initiative, a key outcome of the 3rd Nigeria-Belgium-Luxembourg Business Forum held in Brussels, aims to foster stronger partnerships, facilitate technology transfer, and drive sustainable investments within the livestock industry across the three nations.
India's central bank, the Reserve Bank of India (RBI), announced a 25 basis point cut in the repo rate, bringing it to 5.25%. Concurrently, the Monetary Policy Committee (MPC) raised the GDP growth projection for FY26 to 7.3%, citing robust economic growth and low inflation.
Bulgaria's opposition alliance We Continue the Change - Democratic Bulgaria (WCC-DB), supported by Alliance for Rights and Freedoms (ARF) and MECH, submitted a no-confidence motion against Prime Minister Rosen Zhelyazkov's government on December 5, 2025. The motion, the sixth against the cabinet, targets its economic policies amidst widespread public protests.
Australian household spending saw a significant 1.3% increase in October 2025, marking the largest monthly rise since January 2024. Data from the Australian Bureau of Statistics indicates the surge was primarily fueled by discretionary spending on goods like clothing and electronics, alongside a robust performance in the hospitality sector, including hotels, cafes, and restaurants. This upswing surpassed market expectations and has implications for future economic policy.
Britain's construction sector experienced its sharpest downturn since May 2020 in November, with activity falling significantly across all sub-sectors. This decline, marked by a Purchasing Managers' Index of 39.4, is attributed to weak client confidence and delayed investment decisions stemming from pre-Budget uncertainty. Concurrently, UK investors withdrew a record £10.39 billion from equity funds between June and November, driven by fears over potential tax changes.
The Institute of Directors' latest survey reveals a sharp drop in UK business leaders' confidence in the economy and their own organisations after Rachel Reeves' Autumn Budget 2024. Key indicators like investment and headcount expectations plummeted, reaching near pandemic-era lows, driven by concerns over tax increases and economic conditions.
The Institut d'Émission d'Outre-mer (IEOM) announced on December 1, 2025, a deceleration in the growth rate of business failures across French overseas territories, including Wallis and Futuna. The number of failures reached 2,309 between June 2023 and June 2024, with a year-on-year increase of 19.1%, a notable decrease from the previous period's 29.6% growth.
The Institut d'Émission d'Outre-mer (IEOM) and IEDOM announced on December 1, 2025, a modest deceleration in the growth rate of business failures across French overseas territories, including Wallis and Futuna. The report details 2,687 procedures between September 2024 and September 2025, with varied trends across sectors and regions, indicating a complex economic landscape.
The UK's manufacturing sector recorded its first growth in over a year in November 2025, with the S&P Global/CIPS Purchasing Managers' Index (PMI) reaching a 14-month high of 50.2. This expansion was driven by stronger domestic demand, though employment continued to decline and export orders remained weak.
India's real GDP expanded by a robust 8.2% in the July-September quarter of fiscal year 2025-26, marking a six-quarter high and surpassing economic predictions. This strong performance was primarily fueled by significant growth in the manufacturing, services, and construction sectors, signaling sustained economic momentum.
Germany's annual inflation rate remained stable at 2.3% in November 2025, according to preliminary data from Destatis. Core inflation eased to 2.7%, while services inflation stayed elevated at 3.5%. These figures, alongside a harmonised rate of 2.6%, are closely watched by the European Central Bank as it considers future interest rate policy.
French harmonized inflation unexpectedly remained stable at 0.8% year-on-year in November, below the anticipated 1.0% increase, according to preliminary INSEE data. This stability was influenced by decelerating service and manufactured goods prices, while consumer spending on goods saw a 0.4% rise in October.
Italy's economic landscape in September 2025 presented a complex picture, with business confidence seeing a marginal uptick and industrial sales experiencing a notable rebound. However, consumer confidence, despite an increase, remained in pessimistic territory, while government bond yields held steady, contributing to a diverse set of economic signals.
