Experts Views on Global Challenges

Recently politicians, economists, scientists and investors met at the XII Astana Economic Forum in Nur-Sultan, the capital of Kazakhstan, to discuss where the world’s economies were headed. With the worldwide system facing multiple trade wars and other socio-economic and political issues, the experts view on global challenges are quite interesting.

The “Economic Research Institute” published specifically for AEF an analytical review “Kazakhstan and the global world: challenges and opportunities”. It includes recommendations and practical measures to help confront modern challenges.

Contributors included representatives from the Kazakhstan Fund for Economic Initiatives, the Boston Consulting Group, PwC, European Bank of Reconstruction and Development, Asian Development Bank, and the Reinventing Bretton Woods Committee. Valuable recommendations were also given by guests, speakers and international participants of the AEF.

The publication includes suggestions and practical measures to help the global community confront modern challenges. Almost all experts agreed that the world is experiencing difficult times due to trade wars, climate change, and transformation of labor markets caused by technological development. Despite political and economic risks, it is necessary to find points of growth and look for solutions to these crisis situations.

Global risks, including trade wars, technological race, climate change, threats of cyber-dependence, increasing inequality, and other issues, require states to be prepared for joint and targeted efforts.

Almost all experts agreed that the world is experiencing challenging times due to trade wars, climate change, and transformation of labor markets caused by technological development. It’s necessary for states to look for jointed and targeted solutions to these crises.

Maurice Obstfeld, professor of economics at the University of California and former IMF Chief Economist, explained, “The current political dynamic creates a vicious circle. Without joint action, economic and social conditions will deteriorate.”

However the new economy carries not only risks, but also many opportunities for growth.

Experts stressed that people, human capital and developed modern cities create growth in these conditions.

Experts also noted that well-planned and managed cities can take advantage of urbanization to generate and maintain growth.

Christine Lagarde, Managing Director of IMF, reiterated that, “Technological change and integration bring benefits by boosting productivity and economic growth, but also generate difficult changes and crowd out workers.”

While Rae Kwon Chung, Nobel Peace Prize laureate, noted, “The growing gaps between economic growth and sustainable development goals, including environmental protection, social cohesion and a transition to low-carbon energy, are serious problems that we never faced before.”

To solve this problem, there is a unanimous opinion that it’s necessary to implement a more inclusive and sustainable growth model that contributes to raising global living standard. Inclusive entrepreneurship is a powerful tool for socio-economic progress, enabling new growth opportunities for businesses, and improving people’s lives.

To understand more about experts views on global challenges you can access the publication on the Economic Research Institute’s website: www.eri.kz.