Winds

• The Philippine economy started 2026 on a weak footing, with growth slowing to 2.8% in the first quarter, marking the third consecutive quarter of decline. • Inflation remained a critical concern, reaching 6.4% in June and exceeding the Bangko Sentral ng Pilipinas (BSP) target for four straight months. • A mid-year assessment by the ASEAN+3 Macroeconomic Research Office (AMRO) identifies a complex economic landscape defined by three major headwinds and three tailwinds.

• Private companies in the US, UK, and Europe demonstrated strong performance through 2025 and into early 2026, according to the ICG Private Company Database. • Data tracking nearly 500 private firms reveals that median EBITDA grew at a robust pace while broad debt metrics remained healthy. • This resilience is significant as it occurred despite a backdrop of high global economic and geopolitical volatility.

• Indian Prime Minister Narendra Modi concluded a diplomatic visit to Indonesia, where both nations signed 14 cooperation agreements to strengthen bilateral ties. • A primary highlight of the visit is a landmark deal to provide BrahMos supersonic missiles to the Indonesian armed forces. • This acquisition makes Indonesia the second Southeast Asian country to deploy the Indo-Russian weapons system, following the Philippines.

• Foreign Direct Investment (FDI) in India has reached a five-year high, driven by strong capital inflows and resilient domestic demand despite global trade headwinds. • The services sector emerged as the primary growth engine with a 10% expansion, followed by industry growth of 7.3% and a more subdued 3.6% increase in agriculture. • This surge is significant as robust investment momentum and gross capital formation are currently offsetting global economic uncertainties and inflation.

• A federal judge has issued a temporary block on Colorado's first-in-the-nation prescription drug payment cap. • The ruling provides an early legal victory for the pharmaceutical company Amgen, which challenged the policy. • This decision represents a significant policy headwind for hospitals and state regulators attempting to control drug costs.

• According to the India Venture Capital Report 2026 by Bain & Company, India's VC and growth ecosystem is transitioning toward a monetization-led growth phase. • Investors are shifting their priorities away from "growth at all costs," now focusing on capital efficiency, sustainable profitability, and clear exit pathways. • This strategic pivot is being driven by the integration of AI, the expansion of quick-commerce (Q-commerce) infrastructure, and strong domestic economic tailwinds.

• Astronomers utilizing data from the New Horizons spacecraft have discovered that solar winds gradually slow down as they travel toward the edge of the solar system. • The research indicates that the solar wind speed decreases by approximately 13% to 15% within the outer heliosphere. • This deceleration occurs because the solar wind picks up and interacts with interstellar material as it moves further away from the Sun.