The Global Risks Report, published annually, examines some of the biggest hazards that could affect us over the coming ten years, highlighting the importance of sustainability compliance. It acts as a call to action to collectively prepare for the next crisis the world could face.
Simultaneously, it aids in risk management and in creating a pathway to a more resilient and stable world, ensuring that sustainability compliance is at the forefront of these efforts. Continue reading for the key findings in this year’s Global Risks Report by the World Economic Forum (WEF).
About the Global Risks ReportÂ
The World Economic Forum has published its Global Risks Report 2023 18th Edition, which examines how widening economic, societal, and geopolitical fissures will both trigger and exacerbate crises to come. The insights come from over 1,200 policymakers and experts across the globe. It shares some of the key dangers in the short term and highlights escaping risks over the coming decade.
Additionally, it examines how competition for crucial resources like minerals and food could play out in alternate futures. The Global Risks Report 2023 edition identifies a number of areas where the world is at a turning point. In essence, it creates a pathway to a more robust and stable world by serving as a call to action for everyone to get ready for the next disaster the world may encounter.
Key findings from the reportÂ
There were several key findings from the Global Risks Report 2023 18th Edition. Firstly, in the next two years, cost of living risks will predominate globally. Failing to address climate change will dominate in the next ten years. As a result of underlying economic and geopolitical trends, we can anticipate that the coming ten years will be marked by crises in society and the environment.
The cost-of-living crisis is ranked as the most severe worldwide risk in the short term. Meanwhile, biodiversity loss and ecosystem collapse is considered one of the quickest deteriorating worldwide risks over the next ten years. Environmental and climate risks are the primary focus of worldwide risk perceptions over the following decade. We are also seen to be the least prepared for these risks.Â
The failure to make deep, coordinated progress toward achieving climate action goals has highlighted the gap between what is technically possible and what is actually required to achieve net zero. Current crises are also diverting resources from risks arising over the medium to the longer term, which is placing a burden on natural ecosystems. A failure in one will inevitably lead to the other since the loss of nature and the climate crisis are inextricably linked.
Below are the five environmental risks, which featured in the top ten risks over two years.Â
- Natural disasters and extreme weather events
- Failure to mitigate climate change
- Large-scale environmental damage incidents
- Failure of climate change adaption
- Natural resource crises
All six environmental risks featured in the top ten risks over the next ten years.Â
- Failure to mitigate climate change
- Failure of climate change adaption
- Natural disasters and extreme weather events
- Biodiversity loss and ecosystem collapse
- Natural resource crises
- Large-scale environmental damage incidentsÂ
Summary
The Global Risks Report identifies the risks we can expect to face within the short-term (two years) and long-term (ten years). All of the environmental risks are featured in both the short-term and long-term, further illustrating how important it is to take climate action and adapt so we are prepared for pending crises.
