Why in News?
- Recently, the World Economic Forum has published the 18th Edition of Global Risks Report 2023 which seeks that the world be prepared for ‘Natural disasters and extreme weather events’ in the next two years.
- The WEF report has been released just before its flagship Davos 2023 Meeting, which is named as Cooperation in a Fragmented World.
Major Findings of the Report-
- Most Severe Risks- ‘Failure to reduce Climate Change’ and ‘Failure of Climate Change Adaptation’ are the two most serious risks facing the world in the coming decade, followed by ‘natural disasters and extreme weather events’ and ‘Biodiversity loss and ecosystem collapse’.
- At present, atmospheric levels of carbon dioxide, methane and nitrous oxide have all touched record highs.
- Emission trajectories make it very unlikely that global goals to limit warming to 1.5°C will be accomplished.
- Climate Action and Biodiversity Loss- The world has struggled to make the needed progress on climate change even with 30 years of global climate advocacy and diplomacy.
- Failure on climate action to address climate change’ has continued to figure among the top risks in the report since 2011.
- Biodiversity within and between ecosystems is already decreasing faster than at any other point during human history.
- Reversal of Climate Mitigation Progress- Growing demands on public- and private-sector resources from the socio-economic short-term crises attributed to geopolitical tensions, will likely diminish the speed and scale of mitigation efforts over the next two years.
- These have, in some cases, also reversed progress on climate change mitigation, at least over the short term.
- For instance, the European Union spent approx. 50 billion Euros on new and expanded fossil-fuel infrastructure and supplies.
- Some countries like Austria, Italy, the Netherlands and France resumed coal power stations.
- Apprehensions and Threats- Over the next 10 years, the interconnections between biodiversity loss, pollution, natural resource consumption, climate change and socio-economic drivers will make for a threatening mix.
- In the meantime, the present global pandemic and war in Europe has been held accountable for the energy, inflation and food crises. In fact, ‘cost of living’ ranks as the top most severe global risk in the short term (over the next two years).
- Failure to mitigate climate change is also a vital global risk that the world is least prepared for.
- Around 70 percent of the respondents in the WEF report said current measures to stop or prepare for climate change have been “ineffective” or “highly ineffective”.
About Global Risk-
- It is defined as the possibility of the occurrence of an event which, if it occurs, would negatively impact a significant proportion of global gross domestic product, population or natural resources.
- The Global Risks Report is an annual study released by the World Economic Forum ahead of the Forum’s Annual Meeting in Davos, Switzerland. Based on the work of the Global Risk Network, the report describes changes occurring in the global risks landscape from year to year.
World Economic Forum-
- The World Economic Forum (WEF) was formed in 1971, initially it was known as European Management Forum.
- It was founded by Germen economist Klaus Schwab, to improve the state of the world.
- In 1987, the organisation changed its name to the World Economic Forum. It has offices in New York, Beijing and Tokyo.
- The World Economic Forum (WEF) is an international non-governmental organisation based in Geneva, Switzerland.
- The annual meeting of the forum is attended by politicians from Developing and Developed countries, CEOs of large corporations, Members of civil society, Diplomats, Journalists.
- Some reports published by WEF-
- Energy Transition Index.
- Global Risk Report.
- Global Competitiveness Report.
- Global IT Report. WEF along with INSEAD, and Cornell University publishes this report.
- Global Gender Gap Report.
Global Travel and Tourism Report.