External Affairs Minister Jaishankar recently highlighted two key challenges that the world could face in terms of supply chain disruptions and prolonged debt crises, which could impact the global economic scenario.

• Supply chain disruptions: A disruption in the supply chain due to various factors such as sudden virus outbreak, war, natural disasters, etc., can cause a ripple effect across economies. The COVID-19 pandemic served as a prime example of how a disruption in supply chains can severely impact businesses and economies globally. The reliance on a few countries for critical supplies and dependency on a single source can severely hamper economies and industries.
• Prolonged debt crises: Countries burdened with high levels of debt can face long-term economic challenges. The COVID-19 pandemic led to a lot of countries borrowing to cover their medical and economic costs. Prolonged debt crises can lead to an economic slowdown, inflation, and even a potential default on loans. It can cause a ripple effect across nations and impact the global economy.

In conclusion, these challenges require global cooperation and the development of resilient and diversified supply chains to mitigate the risks of global economic disruption.