The World Economic Forum has released a report stating that the world is facing five major risks in 2020

　　The annual World Economic Forum conference has once again attracted global attention. Nearly 3000 leaders from 117 countries and regions will attend the 50th Annual Meeting of the World Economic Forum, which will continue to highlight the theme of the times' development, seek common ground while reserving differences in exchanges and dialogues, gather global ideas, and work together with forces from all walks of life to jointly explore the path of global development.

Prior to the annual meeting, the World Economic Forum released its 15th Global Risks Report (2020), stating that the world will face five major risks in 2020: geopolitical instability, further global economic slowdown, intensified climate change, increased threats to cyberspace security, and worsening global political and economic inequality. Faced with these challenges, the international community and stakeholders should take immediate action to address them.

　　The report lists the five major risks facing the world in 2020. One is that the unstable geopolitical landscape has triggered global turbulence. The imbalance of world economy, population, and technological power has led to new geopolitical instability, questioning the long-standing international pattern and values of the multilateral system. More and more countries are responding to challenges and pursuing their own goals through unilateralism and nationalism.

Secondly, economic stability and social cohesion are under threat. The fragility of macroeconomics and financial inequality have brought downward pressure to the global economy and increased the risk of economic slowdown. As some country leaders continue to promote nationalist policies, low trade barriers, prudent fiscal policies, and strong global investment, which were once seen as positive factors for economic growth, are being eroded. The room for monetary and fiscal policy stimulus measures has narrowed compared to before the international financial crisis, and macroeconomic uncertainty has increased accordingly. In addition, economic confrontation between countries and political polarization within each country are also significant risks. Affected by the bleak economic outlook, people are dissatisfied with the current situation, and the way many governments handle major economic and social issues is unpopular. Protests occur frequently around the world, weakening the government's ability to take decisive action during economic downturns. Countries will lack the financial resources, political capital, and social support needed to respond to major global risks.

　　The third is the approaching climate crisis and accelerated loss of biodiversity. In the past five years, natural disasters have become increasingly severe and frequent, with unprecedented extreme weather occurring globally last year. Climate experts warn that rising global temperatures will lead to serious consequences for life, property, economy, society, environment, and geopolitics. The short-term effects of climate change combined will ultimately create a major global emergency. Environmental issues rank first among global long-term risks. The exacerbation of biodiversity loss will have a crucial negative impact on humanity, with a high probability of occurrence and an accelerating rate of species extinction compared to the past.

Fourthly, the digital divide and online inequality pose a threat to the healthy development of the global economy. Although the development of digital technology and network has brought huge economic and social benefits to the world, the inequality of Internet access, the lack of a global technology governance framework, prominent network security problems, and the fragmentation of cyberspace constitute major risks, including the collapse of information infrastructure, and also threaten the excavation and utilization of the potential of next-generation network technology.

The fifth is that the healthcare system is facing unprecedented pressure. New changes have occurred in society, environment, population, and technological patterns. Cardiovascular diseases and mental illnesses have replaced infectious diseases as the main causes of human death. The economic and social costs brought about by extended lifespan and chronic disease management have put many countries' healthcare systems in crisis.

The report predicts that 2020 will be a year of geopolitical turmoil, intensified international polarization, and slowing economic growth, with unilateralism likely to continue to prevail. The report also predicts global environmental risk points for the next 10 years, including extreme climate events that cause significant damage such as property damage, infrastructure damage, and loss of life; The measures taken by the government and enterprises to address climate change have failed; Human caused environmental damage and accompanying disasters, including soil destruction and the spread of radioactive pollution; The loss of biodiversity and the collapse of ecosystems (both on land and in the ocean) have irreversible consequences for the environment, and the natural resources that humans rely on for survival are severely depleted; Major natural disasters such as earthquakes, tsunamis, volcanic eruptions, and geomagnetic storms occur frequently. (Economic Daily reporter Yang Haiquan)

Source: China Economic Net - Economic Daily