Governments and corporations do not have the right mechanisms in place to deal with increasing global risks such as climate change, according to a new report prepared for the annual World Economic Forum meeting in Davos.
Levels of global risks (climate change, terrorism, pandemic flu and others) are rising and “the mechanisms in place to manage an mitigate these risks at the level of businesses, governments and global governance are inadequate”, says a new Global Risks 2007 report.
The report was prepared by the World Economic Forum with the help of major insurance companies such as Swiss Re for the annual meeting of political and business leaders in Davos from 24 to 28 January 2007.
The study suggest that major global governance innovations will be needed to deal with 23 core global risks which have the potential to disrupt the world’s economy. It proposes that governments appoint a Country Risk officer and countries create flexible “coalitions of the willing” around specific global risk issues.
Climate change and energy security, the two issues addressed by the Commission’s recent energy/climate change package (see also EURACTIV 11 January), are seen as central challenges in the WEF report.
Global warming will be the hottest topic on this year’s Davos meeting, next to the rising tension between the West and Iran.