The World Economic Forum has identified geoeconomic confrontation as the most significant global risk for 2026, marking a dramatic eight-position climb in its annual Global Risks Report released ahead of the Davos meeting. The comprehensive study, now in its 21st edition, draws insights from over 1,300 global leaders and experts across academia, business, government, and civil society.

Global Risk Rankings Show Shifting Priorities

The report reveals a stark transformation in global risk perceptions, with geoeconomic confrontation leading the two-year outlook. The complete ranking for the near-term period shows:

For the 10-year horizon, environmental concerns maintain their dominance, with extreme weather events, biodiversity loss and ecosystem collapse, and critical changes to Earth systems occupying the top positions.

India Faces Distinct Risk Profile

India's risk landscape differs significantly from global patterns, with cyber insecurity emerging as the primary concern. The country's top five risks present a unique combination of technological, economic, and social challenges:

The World Economic Forum highlighted India's Unified Payments Interface as "a good example" for governments seeking to strengthen their banking systems' resilience against potential global financial crises.

Critical Infrastructure Emerges as Warfare Front

The report identifies critical infrastructure as a new battleground, particularly concerning water security. Governments controlling upstream water sources may increasingly divert resources at neighboring countries' expense. The World Economic Forum specifically cited potential flashpoints including:

• The Indus River Basin tensions between India and Pakistan
• Afghanistan's Qosh Tepa Canal construction, potentially reducing Amu Darya River flow to Turkmenistan and Uzbekistan

Technology Risks Accelerate

Misinformation and disinformation rank second globally for the two-year outlook, with deepfakes representing a particular concern. The report notes that digitally altered videos, images, and audio recordings have begun influencing electoral processes across multiple countries, including the United States, Ireland, Netherlands, Pakistan, Japan, India, and Argentina.

Adverse outcomes from artificial intelligence demonstrate the starkest trajectory change, climbing from 30th position in the two-year horizon to fifth in the 10-year outlook, reflecting growing anxiety about implications for labor markets and security.

Economic Volatility Concerns Mount

Economic risks show the largest collective increase in near-term projections. Key economic indicators reveal significant position changes:

Global Outlook Remains Pessimistic

Survey respondents express deep concern about future stability, with 50% anticipating a turbulent or stormy world over the next two years—a 14-percentage-point increase from the previous year. Only 1% predict calm conditions for the near term.

For the 10-year outlook, pessimism persists with 57% expecting turbulent conditions and just 1% anticipating calm. Additionally, 68% of respondents expect a "multipolar or fragmented order" over the next decade, up four points from last year.

"A new competitive order is taking shape as major powers seek to secure their spheres of interest," said World Economic Forum President and CEO Borge Brende. "Our Annual Meeting in Davos will serve as a vital platform for understanding risks and opportunities and for building the bridges needed to address them."

The findings will undergo detailed examination during the World Economic Forum Annual Meeting in Davos, where global leaders will address these emerging challenges and potential collaborative solutions.

US President Donald Trump will attend the World Economic Forum Annual Meeting in the Swiss ski resort town of Davos, accompanied by five cabinet members, while the summit will feature a strong delegation from India, organisers announced on Tuesday.

Historic Participation Expected

The five-day annual meeting beginning January 18 will witness historic participation of more than 3,000 world leaders, according to WEF President and CEO Borge Brende. The event, held under the theme "a spirit of dialogue," will bring together global leaders amid what Brende described as "the most complex geopolitical situation since 1945."

Global Leadership Representation

At least 64 heads of government or state will be present at the summit, with six out of seven G-7 countries represented by top leadership. China and Pakistan will also have significant delegations attending the event, while Ukraine President Volodymyr Zelenskyy will participate in the discussions.

The meeting will feature unprecedented technology leadership presence, with heads of major companies including Nvidia and Microsoft among the attendees. "We also never had more technology leaders at Davos," Brende noted during an online press conference.

Key Focus Areas

The WEF Annual Meeting will address several critical global issues:

• Ukraine conflict and regional stability
• Gaza situation and Middle East developments
• Latin America, including Venezuela
• Complex geopolitical challenges facing the world

Brende emphasized that dialogue has become "not a luxury but a necessity" in the current global context. A significant bipartisan delegation from the US Congress and state governors will also attend the meeting, reinforcing the emphasis on international cooperation and dialogue.

Strong International Presence

The summit will bring together diverse global representation, with India expected to send a strong delegation alongside other major economies. The participation of multiple finance ministers and central bank governors indicates the meeting's focus on addressing economic challenges and fostering international collaboration during uncertain times.