Navigating Global Financial System Fragmentation 2025

Introduction Global finance leaders are working together to establish norms and principles that safeguard the financial system in the face of geopolitical fragmentation. Recent political developments, combined with demographic shifts and changing economic trends, have reconfigured the landscape for global finance. Geopolitical fragmentation represents one of the most pressing issues affecting financial services on a global scale.4 As a result, today’s financial actors face numerous challenges. In March 2024, the World Economic Forum’s Centre for Financial and Monetary Systems and Oliver Wyman launched the Navigating Global Financial System Fragmentation initiative, which brings together more than 25 chief executive officers, chairpersons and other global finance leaders to understand the new landscape and define a common set of norms, rules and principles to safeguard the global financial system during a period of rising geopolitical complexity. This report proposes frameworks to protect the financial system, outlines the quantitative and qualitative costs of fragmentation and provides policy-makers with guidance and tools to activate these frameworks that protect global prosperity. Navigating Global Financial System Fragmentation 8