Inflation and Job Scares Fuel Risk of Civil Unrest, Edelman Says

The global economy is grappling with a resurgence of inflation and job scares, which are fueling the risk of civil unrest, according to a recent report by Edelman, a global communications and marketing firm. The report, titled "Edelman Trust Barometer 2025," highlights the growing concern among citizens worldwide about the economic challenges they face and the potential for social unrest to escalate.



Inflation has been on the rise in many countries, driven by factors such as increased demand, supply chain disruptions, and geopolitical tensions. This has led to higher prices for essential goods and services, putting a strain on households and businesses alike. The IMF's Reported Social Unrest Index, which tracks media mentions of words associated with unrest across 130 countries, has shown a significant increase in the fraction of countries experiencing large spikes in this index. In February 2025, this fraction rose to around 3 percent, nearing its highest levels since the onset of the pandemic.

Job scares, or concerns about job security and employment prospects, have also been exacerbated by the economic challenges faced by many countries. The COVID-19 pandemic has led to widespread job losses and economic uncertainty, which have persisted even as the pandemic has eased. This has contributed to a sense of unease and frustration among citizens, who are increasingly vocal about their concerns.

The Edelman report highlights the growing risk of civil unrest in countries around the world, as citizens express their frustration with economic conditions and government policies. The report notes that the conditions for civil unrest are building in a growing number of countries, with the severity and frequency of protests and labor activism set to accelerate over the coming months.



The report also notes that the lifting of pandemic-era restrictions and the continued cost-of-living squeeze mean that protests may yet increase, imposing significant economic costs. The IMF has shown that unrest can have a lasting impact on economic performance, with 18 months after the most serious unrest events, gross domestic product typically about 1 percentage point lower than it would have been otherwise.

To mitigate the risk of civil unrest, governments must address the economic challenges faced by their citizens and take steps to improve economic conditions. This may involve implementing social protection measures, providing economic support to vulnerable populations, and addressing the root causes of economic inequality and insecurity. By taking these steps, governments can help to alleviate the economic pressures that fuel social unrest and promote a more stable and prosperous society.

In conclusion, the resurgence of inflation and job scares is fueling the risk of civil unrest around the world. Governments must take steps to address these economic challenges and promote a more stable and prosperous society. By doing so, they can help to mitigate the risk of social unrest and promote a more secure and prosperous future for all citizens.