Climate, tech and inequality will dominate the WEF

The World Economic Forum in Davos gathers the lowest number of G7 leaders to face the highest number of risks in years

The World Economic Forum (WEF) meeting starts today but the fallout from the US government shutdown, Brexit and the yellow vest protests is keeping US President Donald Trump, UK Prime Minister Teresa May and French President Emmanuel Macron away. China has sent Vice President Wang Qishan. The WEF Global Risks report, published on January 15, highlights the three likeliest risks as extreme weather, insufficient climate mitigation and natural disasters. A cyberattack drops from third to fifth but data theft rises from fifth to fourth. Weapons of mass destruction, extreme weather and climate change would have the largest impact. The most interconnected risks are extreme weather and insufficient climate change adaptation; cyberattacks and a breakdown of critical information infrastructure; and the impact of technology, notably high structural unemployment or underemployment. US Secretary of State Mike Pompeo speaks today. Wang Qishan, German Chancellor Angela Merkel and Japanese Prime Minister Shinzo Abe will push for progress, particularly on climate change.

Our judgement

The absence of the US, UK, French and Chinese leaders reduces the credibility of the meeting, but progress will be made to advance policies to deal with the consequences of climate change, rising cyber dependency and increasing polarisation of societies.

See PROSPECTS 2019: Global economy - November 30, 2018