Mother nature presents the biggest threat in 2019. Disasters are the greatest long-term threats to the world, according to the World Economic Forum’s Global Risks Report. 2019 looks bleak with risks from natural disasters to trade wars, cyber-attacks and unemployment. Four of the five top risks to the world, according to the Report, are posed by the elements: failure to mitigate the effects of climate change; floods and storms; water crisis, plus earthquakes, tsunamis and electric storms. “2018 was sadly a year of historic wildfires, continued heavy flooding and increasing greenhouse gas emissions. It is no surprise that in 2019, environmental risks once again dominate the list of major concerns. So, too, does the growing likelihood of environmental policy failure or a lack of timely policy implementation,” says Alison Martin, Group Chief Risk Officer, Zurich Insurance Group. Gaps play a big part in the Global Risks Report. In the top five trends are: the growing gap between rich and poor; the polarisation of societies; along with climate change, the rise of nationalism and the risk of increasing cyber dependency. On the economic front, one of the biggest risks of all likely to come in international trade; 90% of those polled by the report, believed there is likely to be confrontation over trade between the major powers in 2019. The danger of large-scale cyber-attacks that could break down infrastructure and information systems along with major fraud attacks, was also flagged by the report. “Persistent underfunding of critical infrastructure worldwide is hampering economic progress, leaving businesses and communities more vulnerable both to cyber attacks and natural catastrophes. 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, ” says John Drzik, President of Global Risk and Digital, Marsh. The report also delves into the biggest risks for Africa and other regions around the world:
Friday January 18, 2019.