A new report by the World Economic Forum (WEF) has indicated that the scars of the COVID-19 pandemic will be visible for years with many of them manifesting into some of the most critical threats to the world.
The 2021 Global Risks Report revealed that mass unemployment, digital inequality and prolonged economic stagnation are some of the risks that could pose a danger in the next two years.
“Job losses, a widening digital divide, disrupted social interactions, and abrupt shifts in markets could lead to dire consequences and lost opportunities for large parts of the global population.
“The ramifications — in the form of social unrest, political fragmentation and geopolitical tensions — will shape the effectiveness of our responses to the other key threats of the next decade; cyberattacks, weapons of mass destruction and, most notably, climate change.”
2021 Global Risks Report
The report also observed that the disparity between societies is more evident as the pandemic led to one of the swiftest organizational transformations in history as governments and businesses went digital to minimize the disruption caused by lockdowns.
The restrictions prompted an unprecedented adoption of digital technologies as people were asked to work from home, schools and universities took their classes online, doctors and patients turned to telemedicine and political leaders switched to virtual summits.
But the increasing reliance on the internet has exposed the deep divide between the technology haves and have-nots both within countries and between countries, with many children unable to attend online classes because of poor internet access and businesses shutting down over of their inability to go digital, the report said.
Saadia Zahidi, Managing Director of the World Economic Forum noted that, “the elder part of the millennials those who are now in their mid-30s, they have essentially lived through two crises. They have seen the global financial crisis of 2008-09 when they first joined the workforce and now they are seeing the recession of today. So, for them their working lives have been bookended by these two crises.
“Even for the younger cohort of millennials and generation Z, there is the environmental crisis. They have seen the environmental catastrophe unfold before them. So they are also facing this double disruption.
“They would need additional support because this is the generation that will be scarred by this crisis and they will go on to vote and shape our economies and societies for the next 30-40 years.”
The report also warned that the risk of “youth disillusionment” which was largely being neglected by the global community, would become a critical threat to the world in the short term.
“Hard-fought societal wins could be obliterated if the current generation lacks adequate pathways to future opportunities — and loses faith in today’s economic and political institutions.”
Climate change also emerged as a catastrophic risk in the annual report, with “climate action failure” and “extreme weather” identified as most likely long-term risks for the third straight year.
Although global lockdowns led to a drop in global emissions in 2020, the year was still declared as the hottest on record by NASA.
The report noted that responses to the current pandemic, which have caused new “domestic and geopolitical tensions that threaten stability,” could undermine the global fight against climate change.
