Key Insights for Businesses
Today’s world is defined by unpredictability. Climate change, geopolitical tensions, cybersecurity threats, and economic fragility are no longer hypothetical risks — they are active realities impacting businesses globally. And that leads us to the Global Risk Report.
The World Economic Forum’s Global Risk Report 2025 paints a stark picture: short-term shocks like armed conflict and disinformation, combined with long-term risks like biodiversity collapse, will increasingly disrupt the global economy.
Companies must go beyond resilience; they must become anti-fragile—able to adapt, evolve, and thrive amidst volatility. This blog breaks down the 2025 Global Risk Report and offers practical steps for businesses aiming to future-proof their operations.
What is the Global Risk Report?
The Global Risk Report is an annual publication from the World Economic Forum (WEF) that analyses the evolving nature of global threats across timeframes:
- Short-term (0–2 years): Immediate disruptors like conflicts, extreme weather, and cybercrime.
- Medium-term (2–5 years): Systemic risks like misinformation and societal polarisation.
- Long-term (5–10 years): Environmental collapse, resource shortages, and irreversible planetary changes.
For 2025, the WEF surveyed over 1,400 global leaders and integrated insights from risk specialists, economists, climate scientists, and policymakers — offering a uniquely comprehensive perspective.
66% of survey respondents believe multiple “global catastrophic risks” are likely within the next decade.
Table of Contents
- What is the Global Risk Report?
- Key Global Risks Highlighted for 2025
- Current Global Risk Landscape
- Economic and Geopolitical Pressures
- Environmental Risks and Climate Disasters
- Cybersecurity and Human Rights Challenges
- Emerging Risks for 2027 and Beyond
- Strategies for Businesses: Building Resilience
Key Global Risks Highlighted for 2025
The five top-ranked risks for 2025 (based on likelihood and impact) are:
Rank : : Risk
1 : : State-based armed conflicts
2 : : Extreme weather events
3 : : Geo-economic confrontation
4 : : Misinformation and disinformation
5 : : Societal polarisation
Notably, environmental risks and societal destabilisation now dominate the top rankings for the first time in WEF history, signalling a shift in global business priorities toward resilience and sustainable operations.
Current Global Risk Landscape
Geopolitical Pressures
- Ongoing conflicts: Russia-Ukraine, Israel-Palestine, rising tensions over Taiwan.
- Rise of protectionism: Tariff barriers, reshoring, “friend-shoring” of supply chains.
- Increased sanctions: 40+ major economies engaged in some form of sanctions as of 2024.
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Economic Volatility
- Global inflation is averaging 6.5% (higher in emerging markets).
- IMF predicts global growth will slow to 2.8% in 2025 without major policy interventions.
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Social Unrest
- UK strikes across transport, healthcare, and education sectors in 2023–24 signal rising wage activism.
- Businesses must adapt to a more regional, fragmented, and protectionist world economy while managing global ambitions.
Economic and Geopolitical Pressures
Key economic and political risks impacting businesses:
- Inflationary pressures: Increased operational costs, pricing pressures
- Labour strikes and activism: Supply chain delays, increased wage demands
- Trade fragmentation: Need for diversified markets and localised supply
The UK’s Integrated Review Refresh 2023 warned that global security is deteriorating faster than anticipated, influencing regulatory strategies and trade policies.
Businesses should build dynamic scenario planning models that account for geopolitical risks in operational decisions.
Environmental Risks and Climate Disasters
Extreme weather events are increasingly devastating:
- 2023: $360 billion in global disaster losses (source: Swiss Re)
- 2024: Europe’s hottest summer on record, causing €8 billion in agricultural losses.
- UK Environment Agency reports that flood risk now affects 1 in 6 properties.
- Environmental degradation is not a distant future risk — it’s a boardroom issue today. UK businesses must align with regulations like TCFD disclosures (mandatory since April 2022) and prepare climate resilience strategies.
Start integrating ISO 14001-certified Environmental Management Systems to track, mitigate, and disclose environmental risks systematically.
Cybersecurity and Human Rights Challenges
Cyber Risks
- Global cybercrime damages are projected to reach $10.5 trillion annually by 2025 (Cybersecurity Ventures).
- Top threats: Ransomware, AI-powered attacks, critical infrastructure sabotage.
Human Rights Risks
- Surveillance and data misuse pose rising legal risks under frameworks like the UK GDPR and EU Digital Services Act.
- Societal fragmentation and misinformation campaigns threaten democratic systems and public trust.
Businesses must invest in cybersecurity audits, employee training, and ethical AI governance frameworks.
Emerging Risks for 2027 and Beyond according to the Global Risk Report 2025
| 2027 | Misinformation, Extreme Weather, Armed Conflict |
| 2035 | Biodiversity Loss, Resource Scarcity, Ecosystem Collapse |
70% of business leaders surveyed expect climate-related migration to significantly impact markets by 2035.
Long-term corporate strategy must increasingly factor in sustainability, supply chain risk, cyber resilience, and geopolitical adaptation.
Strategies for Businesses: Building Resilience
Build Anti-Fragility
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Move beyond resilience. Invest in systems that strengthen through stress (e.g., decentralised supply networks, localised sourcing).
Enhance ESG Risk Management
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Use frameworks like GRI Standards, TCFD, and CSRD for transparent sustainability reporting.
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Link ISO 14001 EMS systems to ESG disclosure obligations.
Improve Supply Chain Agility
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Multi-source critical supplies.
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Conduct annual supplier risk assessments.
Cyber Risk Governance
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Implement multi-layer cybersecurity protocols.
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Integrate cyber resilience into enterprise risk management frameworks.
Strategic Partnerships
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Collaborate with local governments, NGOs, and research institutions to strengthen social and environmental adaptation.
Explore Imvelo’s ISO 14001 Training Programmes to align ESG strategies with ISO-certified environmental management best practices.
Conclusion
The Global Risk Report 2025 makes one message clear: businesses that invest early in resilience, sustainability, and governance will not just survive — they will thrive in an increasingly volatile world.
Anticipating interconnected risks, embedding ESG principles, and fostering adaptable systems will define market leadership over the next decade.
The future belongs to proactive, ethical, transparent, and resilient companies.
FAQs
What is the Global Risk Report?
The Global Risk Report is an annual WEF publication highlighting the most significant global threats over short, medium, and long-term horizons.
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Why is the Global Risk Report critical for businesses?
It helps organisations anticipate major disruptions—economic, environmental, and technological—and adapt strategies accordingly.
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What are the top risks for 2025?
The top risks are state-based conflict, extreme weather, geo-economic confrontation, misinformation, and societal polarisation.
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How can businesses prepare for global risks?
By embedding climate risk management, improving cybersecurity, diversifying supply chains, and aligning with international ESG frameworks.
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What UK regulations affect global risk disclosure?
UK companies must comply with TCFD-aligned climate risk disclosures, GDPR regulations for data security, and emerging ESG standards under SDR.
