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WEF Global Risks Report 2025
Context:
India faces a critical challenge as water supply shortages emerge as the most severe risk confronting the country over the next two years (2025–2027), according to the World Economic Forum (WEF).
More on News:
- The 20th edition of the WEF’s annual Global Risks Report identifies India alongside Mexico, Morocco, Tunisia, and Uzbekistan as the five countries where water supply crises rank as the top immediate or short-term risks.
- The WEF report also highlights India’s broader risk profile, identifying a range of interconnected challenges across technological, societal, environmental, and economic domains.
Water Shortages: A Growing Global Crisis
- Contributing Factors: The water supply crisis is driven by overexploitation, mismanagement of natural resources, climate change, and insufficient infrastructure.
- Global Trend: The number of countries identifying water supply shortages as a top-five risk has risen from seven in 2024 to 27 in 2025, indicating a growing global concern.
- Regional Impact: In North Africa, Morocco and Tunisia have seen water concerns escalate from the third-most severe risk in 2024 to the most severe in 2025.
India’s Top 5 Risks (2025–2027)
- Alongside water supply shortages, India faces a range of other immediate risks for the period between 2025 and 2027:
- Misinformation and Disinformation (2nd): The spread of false information and its implications on public trust, governance, and social stability.
- Erosion of Human Rights and/or Civic Freedoms (3rd): Growing concerns about the erosion of fundamental rights in the country.
- Pollution (4th): Environmental pollution, including air, water, and soil contamination, which poses significant health and economic risks.
- Labour and/or Talent Shortages (5th): Shortages in skilled labour and talent in critical sectors, hindering economic growth and technological advancement.
Pollution: A Rising Environmental Concern
- India’s Context: Pollution, spanning air, water, and soil, is a top immediate environmental risk.
- As per the Air Quality Life Index by the Energy Policy Institute at the University of Chicago (EPIC), air pollution reduces the global average lifespan by 3.6 years.
- Global Trends: The number of countries identifying pollution as a top-five risk rose from six in 2024 to 13 in 2025, including Bangladesh and Nepal. In Ghana and Mongolia, pollution is the second-most severe environmental risk.
Extreme Weather Events
- Global Context: Extreme weather events are the second most severe risk globally for 2025–2027. These events are increasing in frequency, intensity, and impact due to climate change.
- India’s Experience: Extreme weather does not feature among India’s top five immediate risks for the second consecutive year. However, between January and September 2024, extreme weather events occurred on 93% of days, compared to 86% in 2022 and 88% in 2023.
- Human and economic toll:
- 3,238 lives lost in 2024 (18% increase from 2022).
- Severe economic and infrastructural damage.
- The Intergovernmental Panel on Climate Change (IPCC) warns that climate change will further exacerbate these events, as highlighted in its Sixth Assessment Report (AR6).
- Human and economic toll:
Implications
- Broader Risk Landscape: The report underscores challenges such as rapid technological advancements (e.g., Artificial Intelligence), climate change, conflicts, and the spread of misinformation.
The Urgency for Action: Sustainable management strategies and robust policy interventions are critical to addressing water scarcity and other interconnected risks.
