The theme for the famous World Economic Forum (WEF) annual meeting this year is: ‘Improve the State of the World: Rethink, Redesign & Rebuild’ begins in the midst of a World Bank warning that the global economy may see a “double dip” (second recession) in 2011 if the fragile recovery that is underway is “mishandled.”
The CEOs who have assembled for the 40th WEF Summit, seem positive about 2010, but their optimism is well guarded.
“We look at the stock exchanges and feel that we are coming back to the world as we had it. But this would be a false assumption. We still have many unresolved issues. We have a fundamental issue of government debt...unemployment,” WEF founder Klaus Schwab said in a preview interview.
The global economy may see the fragile growth wilting, the World Bank has warned in its latest report despite projecting a 2.7 per cent expansion this year and 3.2 per cent in 2011. The world economy had contracted 2.2 per cent in 2009 under the impact of a financial crisis set off in September 2008 unseen since World War II.
Purchasing power
However, there are opportunities like building purchasing power of people in the poor and developing countries. These issues and opportunities will be explored by 2,500 participants from 90 countries comprising head of governments, ministers, central bank chiefs, CEOs and public figures. “Last 12-18 months have been obviously very difficult for the global economy. However, I think the worst is over. 2010 looks positive,” said Wipro Chairman Azim Premji who is one of the six global CEOs co-chairing the WEF summit.
Press Trust of India
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