World Economic Forum Global Risks Report 2019

The world’s ability to foster collective action in the face of urgent major crises has reached crisis levels, with worsening international relations hindering action across a growing array of serious challenges.

Meanwhile, a darkening economic outlook, in part caused by geopolitical tensions, looks set to further reduce the potential for international cooperation in 2019, this is according to the World Economic Forum’s Global Risks Report 2019.

The Global Risks Report, which incorporates the results of the annual Global Risks Perception Survey of approximately 1,000 experts and decision-makers, points to a deterioration in economic and geopolitical conditions. Trade disputes worsened rapidly in 2018 and the report warns that growth in 2019 will be held back by continuing geo-economic tensions, with 88% of respondents expecting further erosion of multilateral trading rules and agreements.

Three key findings emerged from this year’s survey:

  • Rising geopolitical and geo-economic tensions are the most urgent risk in 2019, with 90% of experts saying they expect further economic confrontation between major powers in 2019.
  • Environmental degradation is the long-term risk that defines our age, with four of the top five most impactful global risks in 2019 related to climate.
  • Rapidly evolving cyber and technological threats are the most significant potential blind spots; we still do not fully appreciate the vulnerability of networked societies.

John Drzik, President of Global Risk and Digital at Marsh, said: “Persistent underfunding of critical infrastructure worldwide is hampering economic progress, leaving businesses and communities more vulnerable both to cyberattacks and natural catastrophes, and failing to make the most of technological innovation.” Allocating resources to infrastructure investment, in part through new incentives for public-private partnerships, is vital for building and strengthening the physical foundations and digital networks that will enable societies to grow and thrive, he concluded.

For more information on the Global Risks Report 2019:

Contact Spokespersons:

Spiros Fatouros

Marsh South Africa, Chief Executive Officer

Telephone +27 (11) 060 7265

Email spiros.fatouros@marsh.com

 

Bridy Paxton

Marsh Africa, Head, Marsh Risk Consulting

Telephone +27 (11) 060 7643

Email bridy.paxton@marsh.com

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