Home News 7 Transformative Ideas To Watch In 2025: Housing To Climate Action

7 Transformative Ideas To Watch In 2025: Housing To Climate Action

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As 2025 approaches, the world stands at a crossroads. From climate action to housing solutions, the year ahead promises both innovations and setbacks. Here are seven transformative, actionable ideas that could shape 2025:

1. “Philanthropic Private Equity:” A Key Solution to America’s Housing Crisis in 2025?

America’s housing shortage and reality are staggering: 7 million units are needed, yet for every 50,000 homes built, another 50,000 are lost. However, Sean Davis, philanthropy entrepreneur and author of Solving the Giving Pledge Bottleneck, is testing an innovative model to address it. His approach replaces profit-driven real estate investor capital—expecting 20% returns—with philanthropic equity, which seeks only repayment of the original amount, not profits, allowing for much lower rents than those that can be delivered today.

Here’s how it works: Davis partners with developers to build housing quickly using philanthropy as the equity in workforce housing. Rather than owning the units, the developers are hired to build and manage the housing, while it is owned by a nonprofit organization, ensuring greater affordability for renters on an ongoing basis.

The concept is being piloted in Florida with a 15-unit project backed by $4 million in philanthropic equity and a 270-unit development supported by $32 million in philanthropic capital. Davis’s vision is ambitious—scaling from 50,000 affordable housing units annually to 300,000. He has already secured $100,000 from 10 philanthropists and provided initial 0% loans to developers, reducing rents by $1,000 monthly. His goal is to demonstrate what many philanthropists and developers overlook: philanthropy can be leveraged as equity in private deals, particularly in traditional workforce housing.

Davis believes this model, which he dubs “philanthropic private equity,” could gain bipartisan support over the coming year. The idea is simple: philanthropic capital can jump-start projects, and federal funding could eventually help scale it nationwide. “In four years,” Davis explains, “we’ll take this to the White House and show how $750 million in grants plus $750 million in debt could yield 7,500 affordable units in cities like Milwaukee.”

By structuring housing investments as perpetual—allowing repaid funds to be continually redeployed—this model could offer a sustainable solution in the long term to America’s housing crisis.

2. Joining A Club: A Way To Heal in 2025?

The documentary Join or Die has reignited interest in the work of political scientist Robert Putnam, whose seminal books Bowling Alone and The Upswing argue that joining clubs—any club—builds trust, fosters reciprocity, and strengthens democracy. Putnam’s work argues that America’s past successes were rooted in this type of civic activity, which could be a key to its future.

While joining a club might seem quaint in an age of social media and constant distractions, there’s growing evidence that Americans are ready to reengage in such activities. A survey of 5,000 Americans by the nonprofit More in Common found that 67% believe the nation needs healing. Additionally, forthcoming data from the organization reportedly shows a majority are open to “bridging activities” that connect people across divides like race, politics, and socioeconomic status. The survey seemingly suggests that once people experience meaningful connections across differences, they’re eager to continue.

Joining clubs offers a practical way to foster these bridges. As More in Common explains, “We often sort everyone into divisive binaries like red vs. blue. But for most Americans, political identity isn’t their primary lens. The challenge for 2025 is to remove polarizing filters and see people for who they really are—unlocking opportunities for genuine connection.” A club could be the place where such divisions are transcended.

Will 2025 mark the beginning of a return to the simple yet transformative act of coming together, one club at a time?

3. Nuclear Power in 2025: A Potential Savior or Risky Mirage?

Nuclear energy is regaining momentum as a clean energy source as global demands surge. At the UN climate talks in Dubai in late 2023, 25 nations committed to tripling nuclear capacity by 2050, a shift bolstered by growing support from banks and changing public opinion—especially among younger generations. With power-hungry AI data centers projected to consume 10% of global electricity by 2030, per McKinsey & Company, tech giants increasingly use nuclear power for sustainable energy solutions. In a striking example, Microsoft has revived Pennsylvania’s Three Mile Island plant to meet its growing energy needs.

However, nuclear power is not just about generating electricity. In Finland, a start-up called Steady Energy is pioneering heat-only nuclear reactors, designed to replace fossil fuels in homes, clean water supply, and industries such as steel production, reportedly offering a far more cost-effective solution than other alternatives. The company has already secured its first two contracts and reportedly has a sales pipeline valued at $1.5 billion. Heat-only nuclear is poised to be in significant demand in coming years, especially given that direct carbon emissions from the manufacturing sector—driven mainly by the burning of fossil fuels to generate heat—account for approximately 25% of global emissions, according to the International Energy Agency.

Despite these advancements, nuclear energy itself remains a contentious issue. Critics raise familiar concerns about safety, waste management, and cost. Meanwhile, adherents like the Tony Blair Institute for Global Progress point out: “Had the world not turned away from nuclear energy after Chernobyl, energy-related carbon emissions could have been 6 percent lower in 2023, the same as taking 450 million passenger vehicles off the road for a year.”

Even among proponents, however, there is apprehension that the debate over nuclear power’s role could overshadow the urgent push to accelerate renewable energy adoption. While nuclear may serve as a complementary energy solution in the long term, its high costs and lengthy development timelines arguably make it less practical as an immediate alternative for tackling climate change.

This global tension is reflected in Australia, where the upcoming 2025 federal election is shaping up as a battleground over energy policy. The debate is increasingly framed, rightly or wrongly, as a binary choice between nuclear and renewables. Some fear that a pro-nuclear conservative coalition victory—centered on plans to construct seven nuclear power plants over several decades—could result in an anti-renewable policy framework, potentially stalling the country’s energy transition. Others remain hopeful that pragmatism will ultimately prevail—prioritizing the most effective approach to reducing emissions while simultaneously meeting the nation’s growing energy needs, regardless of the election outcome.

4. The Creative Economy in 2025: A Global Job Generator

The creative industries—film, music, live events—are being heralded as a potential solution to global unemployment, particularly in Africa. With 800 million jobs needed over the next decade to match the continent’s booming population, according to the World Bank, the creative sector offers a high-growth alternative as traditional industries like manufacturing and mining shed jobs due to automation. Africa’s creative potential is undeniable: for two years, the IFPI Global Music Report named it the fastest-growing region globally regarding music revenue.

Governments are taking note. Nigeria, for instance, aims to generate 10% of GDP from its creative industries by 2030. Unlocking this potential requires bold policies and investments. Strong copyright protections are critical, especially as artificial intelligence threatens to exploit creators’ works without compensation. Development finance, too, is key—institutions like the World Bank and International Finance Corporation can mobilize private sector funding.

The narrative around creative industries is evolving—from being viewed as a luxury to being recognized as a powerful driver of economic development. Organizations like Universal Music Group and the Centre for Music Ecosystems are partnering to build the investment case, while Africa’s Export-Import Bank (Afreximbank) is already taking action. Its expanded $2 billion Creative Africa Nexus fund is strengthening film, fashion, and music through infrastructure and financing.

With the proper support, 2025 could be a breakthrough year for scaling the creative economy as a global job engine—translating potential into real opportunities for Africa’s youth.

5. Vaccines in 2025: A Chance To Save 8 Million Lives

Since 2000, Gavi, the Vaccine Alliance, has reportedly protected over 1.1 billion children and saved 18.8 million lives across low-income countries. Now, it’s aiming higher—protecting 500 million more children by 2030, in turn saving an additional 8-9 million lives.

The litmus test? A high-level pledging summit will be held in March, co-hosted by the Gates Foundation and the European Commission, to raise the funds needed to achieve this ambitious goal.* This is the moment for governments to prove they can prioritize life-saving vaccines with the funds needed, even amid competing agendas.

Vaccines are among the most cost-effective public health tools, preventing disease outbreaks and fostering global economic growth. As António Costa, President of the European Council, has stated: “Vaccine availability is vital not only for humanity but also to restore global economic activity and prosperity.”

The outcome of this high-level summit will set the tone for a healthier, more resilient future. Will leaders rise to the challenge? The European Commission for its part has already pledged €260 million to Gavi for the 2026–2027 period, having done so at the 2024 Global Citizen Festival.

6) Voluntary Carbon Markets in 2025: A Revived Path for Climate Action?

The latest climate talks in Baku saw heated debate over the level of financial commitments developed countries would make to support developing nations in adapting to and mitigating climate change. The final $300 billion figure that was agreed to, with the possibility of being revisited in the next 12 months left open, was much lower than many had hoped for. Even so, it remains unclear how even this amount will be fully delivered.

In this regards, voluntary carbon markets, long mired in skepticism, are gaining renewed attention. As companies face regulatory pressures in jurisdictions like Europe and California, and governments in the Global South seek private investment to offset shrinking public funds, these markets offer a path forward. By funding carbon removal and mitigation projects, businesses can deliver much-needed climate finance, offset hard-to-abate emissions, while continuing to align their reduction efforts with climate science.

Africa is particularly well-positioned to benefit, housing one-third of the world’s carbon sequestration potential. Projects like forest conservation and coal transitions could position the continent, in particular, as a global hub for high-integrity carbon credits provided there is sufficient demand for them. In this respect, South Africa’s G20 presidency offers a prime platform to showcase the continent’s climate startups and attract vital investment, boosting business revenue and government tax income. After all, as Brennan Spellacy, CEO and founder of the carbon removal platform Patch, writes on his LinkedIn: “It’s clear that regulatory frameworks would dramatically increase the amount of capital flowing into climate action. However, there’s money on the sidelines right now.” As American Forrests notes further on its website, “The voluntary carbon market, even in this record year, still only compensates for, at best, one half of one percent of global emissions.” According to the annual State of the Voluntary Carbon Market published by Ecosystem Marketplace, the global voluntary carbon market value was only $723 million in 2023. There is plenty of room then for growth.

To unlock this potential, however, strong oversight is essential to prevent greenwashing. The Paris Agreement’s Article 6 framework, agreed upon at the recent climate talks in Baku, though imperfect, lays the groundwork for standardized rules governing the trading of credits between countries and businesses. As Shilpika Gautam, CEO of carbon removal company Opna, notes, “As always, the devil is in the details… But I see the overall positive news for carbon markets.” As 2025 unfolds, the focus must shift toward scaling these markets and ensuring robust frameworks emerge from Baku to maximize their potential. While this is no silver bullet, it represents a powerful tool for global climate action and economic growth, especially in a year marked by potential setbacks for the climate financing agenda. As Gautam further puts it: “Given the track record of developed countries in meeting their climate financing promises, we need mechanisms like carbon finance to incentivize climate action now.”

7. Global Solidarity in 2025: Rethinking Cooperation Beyond the U.S.

Global cooperation faces a critical moment. The 2024 Global Solidarity Report revealed a dangerously weak level of solidarity that falls far short of that required for tackling crises like climate change and conflict. U.S. leadership, once pivotal in moments like the Second World War, can no longer be solely relied upon. As former U.S. Deputy National Security Advisor Ben Rhodes recently observed in Foreign Affairs, “The old United States is not coming back, and the rest of the world does not expect it to.”

However, this shift in global dynamics potentially offers opportunities for a reimagined approach to cooperation. According to Hassan Damluji and Jonathan Glennie, co-authors of the Global Solidarity Report, reduced reliance on U.S. leadership could pave the way for “more honest engagement” enabling countries to bypass unproductive negotiations and pursue alternative strategies. In climate diplomacy, for instance, developing nations may sidestep traditional roadblocks to build coalitions and pursue win-win solutions on their terms.

Challenges remain. The willingness, for instance, of other Western nations to fill the void left by the U.S. is uncertain. Europe, grappling with political instability, faces a critical test in its own commitment to global solidarity during the upcoming Multiannual Financial Framework negotiations, which will set the European Union’s seven-year budget and priorities. Meanwhile, Canada’s potential conservative shift—with an election likely to be held in the first half of the year—threatens to reduce that country’s global development spending.

Despite these uncertainties, promising initiatives are emerging. The Global Solidarity Levies Task Force has proposed a number of measures to generate substantial resources without burdening working-class communities. Public sentiment supports these ideas; a joint report by Global Citizen and Glocalities shows widespread approval—across G7 nations and bipartisan lines in the U.S.— particularly for measures predicated on making polluters pay for their emissions.

Adding to the momentum, Pope Francis will open the Jubilee of 2025 under the theme “Pilgrims of Hope,” emphasizing solidarity with the marginalized, particularly through debt forgiveness for developing countries. Finally South Africa’s current G20 presidency will spotlight solidarity as a central theme. The pressing question for 2025 remains: Can humanity embrace interconnectedness over division and forge a new era of cooperation?

2025: A Year of Possibility

The ideas shaping 2025 highlight humanity’s potential for innovation and collaboration. From global solidarity to creative economies, these transformative concepts offer a blueprint for a more prosperous, harmonious, and sustainable future. The coming year will test our resolve, but with bold action, 2025 could mark a pivotal turning point in turning these ideas into tangible impact.

*Disclaimer: Global Citizen, the organization I work with, is a Strategic Partner of this High-Level Pledging Moment.

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