DAVOS, Switzerland (AP) — Business and political elites have descended on the Swiss Alpine snows of Davos to figure out how to “restore trust” in a fragmenting world. If we can learn anything from the annual meeting of the World Economic Forum – which boldly promoted that theme – it is that we still have a long way to go.
From outright wars in Ukraine and the Middle East to suspicions that business leaders and techies are out to make money from replacing workers with artificial intelligence, trust is clearly in short supply.
The meeting in Davos concluded on Friday after an annual pulse check among leading decision-makers. The idea is to bring people together, and big announcements are often just a byproduct – not the goal. If they come at all.
“It is unrealistic to think that Davos – or any meeting, anywhere in the world – can rebuild trust in one meeting when it is fragmented on so many dimensions,” said Rich Lesser, chairman of the Boston Consulting Group.
But thousands of conversations between the social, private and public sectors are helping to create “a starting point for rebuilding trust,” he said.
A large artistic wall headlined ‘Rebuilding Trust’, which greeted the bigwigs from Bill Gates to the Iranian Foreign Minister, was filled with statements such as ‘Growth and Jobs’, ‘Climate-Nature-Energy’ and ‘Collaboration and Safety’ – buzzwords that appeal to some. of idle talk.
Critics say the annual gathering, which began more than half a century ago, is the preserve of business leaders seeking greater wealth and politicians seeking to stay in power. The event is aimed at promoting optimism, but the geopolitical gloom weighs heavily.
“What is striking, if not shocking, for me in Davos is this strange commitment from the participants to adopt an optimistic mindset,” said Agnès Callamard, Secretary General of Amnesty International. “But optimism with the goal of maintaining the status quo and maintaining my privilege. That is not optimism.”
“That is, quite frankly, madness, and it affects our poor world,” she added.
The overall conclusion, attendees said, was that the global economic picture is slightly rosier than one might think – interest rates and inflation appear to have peaked in the richest markets – but it is still a mystery where intractable wars and looming elections in places like the US, India, the European Union and South Africa will give the world a new direction.
Here are some insights from Davos and the work ahead:
UKRAINE NEEDS MORE MONEY
Long before the Russian war, Ukraine had staked out prime real estate on the main drag of the Davos Promenade to further its development and efforts to turn west. For the past two years, authorities in Kiev have used the event to call for more support for their struggle.
In 2022, months after the Russian invasion, that was an easier question. This year, Ukrainian war fatigue has struck Europe and the US.
President Volodymyr Zelenskyy headlined Tuesday’s action, calling for more support from Western allies as billions in new funding from the United States and the European Union remain locked up by homegrown political bickering.
“Please strengthen our economy, and we will strengthen your security,” Zelenskyy urged.
Britain, for its part, has stepped up its recent 2.5 billion pound ($3.2 billion) contribution to Kiev and urged its allies to follow suit.
AI: THE FUTURE AND THE RISK
Concerns about the economy that dominated last year have given way to hopes — at least from business leaders — that generative AI could increase productivity and reduce the number of routine tasks.
But naysayers fear the technology’s explosive growth is happening too fast for regulators, threatens to push people out of their jobs and could lead to greater misinformation than is already being found on social media.
Some say people should remain in control and not allow technology to make crucial decisions on its own.
“No matter how much AI can do, humans are still the deciding factor. So we need to focus on training human resources, especially the highly qualified workers,” Pham Minh Chinh, Vietnam’s prime minister, said at a panel in Davos.
THE CLIMATE OF FEAR…
The fate of the Israeli hostages held by Hamas and fears for Israel’s long-term security were on people’s lips, as was what some of Israel’s critics call genocide in Gaza – an accusation that Israeli leaders, whose people were slaughtered during the Holocaust.
Renewed talks about establishing a Palestinian state – an idea rejected again this week by Israeli Prime Minister Benjamin Netanyahu – fueled discussions with US Secretary of State Antony Blinken and others, as well as hopes for a normalization of ties. Israel with the Arab world, especially Saudi Arabia. Both seem unlikely in the near future.
Fears raged over how many more Palestinians will die or be injured, whether Israeli hostages will survive their captivity and whether the conflict will spread to even more parts of the Middle East.
For example, Iran and its allies have stepped up military action in several parts of the region, prompting retaliatory attacks from Pakistan, the US and Britain, among others.
…AND FEAR OF THE CLIMATE
An unusually rainy Thursday — snow is much more the norm at Davos this time of year — set tongues wagging about another possible, albeit temporary, sign of climate change that forward-looking CEOs and political leaders want to address.
The chatter in the Swiss ski resort, just a month after the latest UN climate conference, was unlikely to advance efforts to combat global warming. But business leaders shared ideas about how they’re trying to help.
The UN chief calls 2023 the hottest year on record and fears it could get even hotter in the coming years. According to the UN, countries are not doing enough.
“In the face of the serious – even existential threats – posed by runaway climate chaos and the runaway development of artificial intelligence without guardrails, we seem powerless to act together,” Secretary General Antonio Guterres said in a statement. Davos. “As climate change sets in, countries remain committed to increasing their emissions.”
But “the phasing out of fossil fuels is essential and inevitable,” he added. “No amount of spin or scare tactics will change that.”
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AP journalists Masha Macpherson and David Keyton in Davos and Courtney Bonnell and Kelvin Chan in London contributed.