Inflation is considered the biggest risk to doing business in Brazil in the next two years, followed by the proliferation of illicit economic activities, by geo-economic clashes and, tied, by employment and livelihood crises and severe shocks in commodity prices or volatilities.
The findings are from research carried out by the World Economic Forum’s Center for the New Economy and Society, risk consultancy Marsh McLennan and insurance company Zurich. 12,000 business leaders from 122 countries were interviewed between April and August of this year, asking questions about the biggest threats to doing business in the G20 countries over the next two years.
Concerns about inflation are at the top of the list in both emerging countries, such as Brazil and Argentina, and developed countries, such as Germany. In all countries, it also tops the list of concerns, with 37% of leaders identifying it as one of the most important.
Rising prices also top the list in Latin America as well as Europe, followed in both regions by the cost-of-living crisis. In North America, the main concern is with the debt crisis, as well as in South Asia.
On a global scale, the survey shows that the focus is currently on short-term economic and geopolitical risks. This includes both inflation and geo-economic clashes, against a backdrop of war in Ukraine and rising prices around the world.
“However, if they (leaders are ignoring major technological risks, this could create future blind spots, leaving their organizations exposed to serious cyber threats that could seriously affect their long-term success,” says Carolina Klint, Risk Management Leader at Marsh Continental Europe.
Zurich’s Group Chief Risk Officer, Peter Giger, says that environmental risks cannot be disregarded even as global CO2 emissions slow down from 2 billion tonnes in 2021 to 300 million tonnes this year.
“The transition to net-zero has fallen heavily on the short-term agendas of many business leaders. However, the impacts of climate change are both short-term and long-term,” he says. Fears such as natural disasters or failure to adapt to climate change appeared on lists of concerns associated with some regions of the globe, but were not at the top in any of them.
Source: CNN Brasil
Joe Jameson, a technology journalist with over 2 years of experience, writes for top online news websites. Specializing in the field of technology, Joe provides insights into the latest advancements in the industry. Currently, he contributes to covering the world stock market.
