The one promise and many perils of resurgent industrial policy

This discussion explored the challenges and implications of industrial policy in today’s evolving global landscape. Industrial policies have seen a resurgence, seeking to address market failures such as environmental degradation. However, their track record is mixed. Their growing popularity is shaped primarily by domestic political economy considerations and rising geopolitical tensions. While industrial policies are typically employed by higher-income economies, they are also now used more frequently in economies with less administrative and fiscal capacity to implement them.

This event featured a presentation by Beata Javorcik, Chief Economist of the EBRD, of the latest EBRD Transition Report 2024-25: Navigating industrial policy.