If you were asked, what do you think is the most important risk facing the world in the next two years, what do you think your response would be? The World Economic Forum based on a survey brings out the Global Risks Report every year. The report for 2024 is important because the risks identified could potentially impact each one of us! For the report ‘global risk’ is defined as ‘the possibility of the occurrence of an event or condition which, if it occurs, would negatively impact a significant proportion of global GDP, population or natural resources.

The report brings out a predominantly negative outlook for the world over the next two years. Most of us would think that the climate or environment would top the list; however, over the next two years the risk identified at top is ‘misinformation and disinformation’. With AI becoming more sophisticated with every passing day, we are seeing the explosion of deep fakes and distortions creating harm financially and in how we deal with each other. The report points out that as the battle for what is a ‘true’ begins to dominate, it could lead to global unrest and curbs on expression through regulation.

Risk of extreme weather events is the second risk the world is likely to face in the next two years. It has become routine to read that the heat or cold this year is the maximum in the last many decades. UAE had flash floods, Europe had a heat wave, and in Scandinavian countries this year the temperature went down to minus 40 degrees centigrade! The weather has become an unpredictable and extreme companion. As per the report, the world loses about 16 million dollars an hour due to climate damage. Interestingly, the report points out that younger respondents tend to rank these risks far more highly over the two-year period compared to older age groups. This could mean delayed decision making or missing important milestones. However, across all respondents in the ten-year assessment of global risks, climate and environment dominate the first five risks.

Societal polarization is identified as the third global risk, which is fueled by perceptions of declining social mobility and increased inequality. The explosion of misinformation and disinformation is also fueling this risk, which could be an existential threat to political systems around the world. Cyber insecurity is the fourth risk. As hacking and cyber frauds become part of everyday life, they cause financial damage to individuals and organizations. In 2022, more than 83% organizations were hacked across the world, each costing on an average $4.35 million. As wars around us take place in different hot spots across the globe, the risk of interstate armed conflict makes its debut at number five.

Most of these resonate with our lives today, and it makes one wonder how to minimize and mitigate these risks. The world that is emerging from the crucible of technological acceleration is still an unknown. Coupled with the accumulated outcome of humanity’s exploitation of the planet, it becomes a world that can have multiple future scenarios. Cooperation and collaboration between individuals, communities and countries is the key to navigate this coming uncertain world.