Global Risks Report 2025

The Global Risks Report 2025, published by the World Economic Forum (WEF), outlines the escalating threat of extreme weather events driven by climate change. As the world grapples with these challenges, the report emphasises the need for immediate and coordinated action. With the annual meeting in Davos scheduled for January 20-24, 2025, the theme “Collaboration for the Intelligent Age” reflects the urgency of global cooperation to address these pressing issues.

Extreme Weather Events as a Global Risk

Extreme weather events have consistently ranked as a top global risk since 2014. The WEF report indicates increase in both the frequency and financial impact of these events. Over the last five decades, the costs associated with extreme weather have risen by nearly 77 per cent when adjusted for inflation. Recently, these events are the second most severe risk globally, impacting 28 countries.

Short-term and Long-term Risk Assessment

The report categorises risks into short-term (1-2 years) and long-term (10 years) perspectives. In the short term, extreme weather events have gained prominence, now listed among the top five risks in multiple countries. The United States is particularly affected, with wildfires in Los Angeles projected to incur losses exceeding $200 billion, marking a historic high.

Climate Change and Its Ripple Effects

Climate change is a catalyst for various global risks, including involuntary migration, which ranks as the eighth most severe short-term risk. The World Meteorological Organization has reported that 2024 was the warmest year on record, further intensifying the impacts of extreme weather. The interconnectedness of climate change with other risks like biodiversity loss and pollution is increasingly evident.

Environmental Risks and Pollution

The report identifies pollution as long-term risk, ranking tenth. Unsustainable consumption patterns contribute to the degradation of air, water, and land quality. Pollution is linked to rising health issues, including respiratory diseases and cancers. The report marks that many countries’ climate strategies often overlook pollution, necessitating a dual approach to tackle both climate change and its associated environmental impacts.

Call for Collective Action

Mark Elsner, head of the Global Risks Initiative at WEF, stresses the interconnected nature of crises such as conflicts and climate change. The report calls for a united response to mitigate these challenges. It marks the necessity for clear strategies in national green transition plans to address pollution alongside climate change.

Future Risk Landscape

The evolving landscape of global risks is shaped by technological, geostrategic, climatic, and demographic factors. These forces are expected to intensify, leading to a complex web of challenges that require comprehensive solutions and international collaboration.

Questions for UPSC:

1. Critically analyse the impact of climate change on global migration patterns.
2. Explain the significance of pollution in the context of climate change and public health.
3. What are the primary factors contributing to the rise in frequency and costs of extreme weather events?
4. With suitable examples, comment on the role of international cooperation in addressing environmental crises.

Answer Hints:

1. Critically analyse the impact of climate change on global migration patterns.

1. Climate change induces extreme weather, leading to displacement and forced migration.
2. Areas affected by drought, floods, and rising sea levels see increased out-migration.
3. Involuntary migration ranks as the eighth most severe short-term risk globally.
4. Countries like Bangladesh and the Dominican Republic face climate-driven displacement.
5. Climate change exacerbates existing socio-economic vulnerabilities, prompting people to relocate.

2. Explain the significance of pollution in the context of climate change and public health.

1. Pollution is a critical long-term risk, ranking tenth in global assessments.
2. It negatively impacts air, water, and soil quality, affecting ecosystem health.
3. Health issues related to pollution include respiratory diseases, cancers, and cardiovascular problems.
4. Unsustainable production and consumption patterns drive pollution levels higher.
5. Many climate strategies overlook pollution, necessitating a dual approach to tackle both issues.

3. What are the primary factors contributing to the rise in frequency and costs of extreme weather events?

1. Climate change leads to increased frequency and intensity of extreme weather events.
2. Global temperatures have been rising, with 2024 reported as the warmest year on record.
3. Inflation-adjusted costs of extreme weather have increased by nearly 77% over five decades.
4. Urbanization and population growth exacerbate the impacts and costs of disasters.
5. Inadequate infrastructure and preparedness amplify the financial burden of these events.

4. With suitable examples, comment on the role of international cooperation in addressing environmental crises.

1. International cooperation is crucial for sharing resources and knowledge to combat climate change.
2. Global treaties like the Paris Agreement exemplify collaborative efforts to reduce emissions.
3. Countries affected by climate-induced migration require joint strategies for resettlement and support.
4. Examples include joint initiatives between nations like the Dominican Republic and Haiti for disaster response.
5. Cooperative frameworks can enhance resilience against environmental risks through shared technology and funding.