The 54th Annual Meeting of the World Economic Forum(WEF), also known as “Davos Summit 2024” was held at Swiss Alpine School, Davos in Switzerland from 15th to 19th January 2024.
The theme of 2024 summit is “Rebuilding Trust.
WEF 2024:
i.More than 2800 leaders, including 60 heads of state and government officials, participated at the event.
ii.The meeting offered a platform to focus on the fundamental principles driving trust, including transparency, consistency and accountability.
iii.A total of 21 sessions were held over the span of 5 days.
Note: WEF summit is annually held in in Davos, a small town in Switzerland.
Key Focus Areas:
i.Achieving security and cooperation amid rising geopolitical tensions
ii.Creating growth and jobs for a New Era
iii.Artificial Intelligence(AI) as a driving force for the economy and society
iv.A Long-Term strategy for Climate Nature, and Energy:
Key People:
i.Key political leaders among the participants of the meeting include, Li Qang, Prime Minister(PM) of China; Emmanuel Macron, President of France; Volodymyr Zelensky, President of Ukraine; Ursula Von Der Leyen, President, of European Union(EU) Commission; Jake Sullivan, National Security Advisor of the United States of America(USA) and Javier Milei, President of Argentina.
ii.António Guterres, Secretary General (SG) of United Nations (UN); Kristalina Georgieva, Managing Director of International Monetary Fund(IMF); Ajay Banga, President of World Bank; and Ngozi Okonjo-Iweala, Director-General (DG) of World Trade Organisation(WTO) also participated in the meet.
Representatives from India:
i.Indian delegations at WEF were led by Union Ministers: Smriti Irani, Ministry of Women and Child Development (MoWCD) and Minister for Minority Affairs; Hardeep Singh Puri, Ministry of Housing and Urban Affairs (MoHUA) and Ministry of Petroleum and Natural Gas(MoPNG) and Ashwini Vaishnaw, Ministry of Railways and Ministry of Electronics and Information Technology(MeitY) and Rajesh Kumar(RK) Singh, Secretary, Department for Promotion of Industry and Internal Trade(DPIIT), Ministry of Commerce & Industry(MoCI).
India reinforces its status as a resilient global economy:
Ministry of Commerce and Industry highlighted that India reinforces its status as a resilient global economy and is the preferable destination for investment at the World Economic Forum(WEF) in Davos, Switzerland.
i.India marks its presence in four different spaces: the India Engagement Centre, Experience India Centre, India Investment Centre and We Lead Lounge.
ii.India Investment Centre will serve as the centre for Government-to-Business (G2B) and Business-to-Business(B2B) networking, hosting roundtables and sessions.
India launched “Global Good Alliance for Gender Equity and Equality”
During the WEF 2024, India in partnership with WEF launched the “Global Good Alliance for Gender Equity and Equality” to bring together world’s best practices, knowledge sharing and investments in the identified areas of women’s health, education and enterprise.
Key People: The event was attended by Union Minister Smriti Irani, Hardeep Singh Puri and founder & Executive chairman of WEF, Klaus Schwab.
Key Points:
i.The idea of the alliance was conceptualized at G20(Group of 20) Leaders’ Declaration and reaffirms India’s commitment for women empowerment as propounded by Prime Minister(PM) Narendra Modi.
ii.The Alliance will be housed and co-ordinated by Confederation of Indian Industry(CII) Centre for Women Leadership and supported by Bill and Melinda Gates Foundation.
iii.WEF will be the “Network Partner” and Invest India will be the “Institutional Partner” of the alliance.
iv.The Alliance will also be supported by several industry leaders like MasterCard, Uber, Tata, TVS, Godrej , Serum Institute of India, IMD Lausanne and over 10000 partners from industry.
v.The activities of the Engagement Group and initiatives under G20 framework, Business20, Women20 and G20 EMPOWER will help the alliance to achieve goals set by G20 leaders for the benefit of larger global community.
Union Minister Smriti Irani announced the establishment of B20 Global Institute at WEF Davos
On the sidelines of WEF 2024, Union Minister Smriti Irani announced the establishment of the Business 20 (B20) Global Institute. This is in line with efforts towards India’s commitment during G20 summit held in New Delhi, Delhi in 2023.
The concept was conceived during the Business 20 (B20) Summit 2023 held in Delhi.
Aim: It aims to strengthen Global Value Chains(GVCs), utilize digital innovation and AI for societal benefit , promoted ESG principles and support sustainability and energy transition.
- RAISE- Responsible , Accelerated , Innovative, Sustainable and Equitable businesses. This initiative will help in fostering partnerships to address the emerging economies of the Global South.
Disease X: Unveiling the Unknown Health Threat at WEF 2024:
During the discussion titled ‘Preparing for Disease X’ at WEF 2024, health industry leaders discussed the importance of preplanning for the outbreak of a hypothetical “Disease X”
- Disease X is a mysterious disease as cause of disease is not known yet. It is considered as a serious microbial threat similar to COVID-19.
- WHO added Disease X in priority list of pathogens in 2017 along with Severe Acute Respiratory Syndrome(SARS) and Ebola virus.
India emerged as a Global Leader in Trust: Edelman Trust Barometer 2024
According to “Edelman Trust Barometer 2024” released ahead of WEF 2024, India is at top position in terms of trust in businesses and Non-Government Organisations(NGOs).
- On the overall index, (average %trust in NGOs, business, government and media), India is ranked 2nd in 2024, while China retained its top spot. The United Kingdom(UK) replaced South Korea as the least trusted nation.
- In 2023, India was placed at 4th position in overall ranking of the survey.
Note: Edelman Trust Barometer 2024 is the 24th annual edition of survey which covered over 32000 respondents across 28 countries.
Key Findings:
i.Saudi Arabia secured 1st position for trust in the government and China ranked 1st for trust in media.
- India secured 4th position in terms of trust in media and 5th for the government.
ii.Indonesia has topped the terms of trust shown in employer category while India secured 2nd place in this category.
iii.The survey revealed government of 17 countries found to be distrusted which includes: USA, Germany and UK.
iv.As per the survey, media remained the least trusted institution globally. It has least credibility in 15 countries which includes: USA, Japan and UK.
Points to note:
i.The report states that the developing nations shows higher trust levels than Developed nations.
ii.In USA, 67%(around 2/3rd of respondents) believe that science was highly politicized.
iii.In China, 75% respondents believe that government and organisations exerts influence through funds how science is done.
iv.63% respondents believe global leaders mislead people through false information.
v.Fear of information war increased by 6 points compared to 2023. The figure stands at 61%.
Resilient Growth in Fintech Industry: WEF Report
The report titled “Towards Resilient and Inclusive Growth” stated that fintechs are increasingly expanding operations across borders particularly in the region of their headquarters.
According to the report, India is one of the most significant operating countries for hosting a thriving cluster or fintech headquarters.
About the Report:
i.The Report was prepared by WEF in partnership with Cambridge Centre for Alternative Finance(CCAF) at the University of Cambridge Judge Business School.
ii.The Report covers over 200 fintech companies across 5 retail facing industry verticals and 6 regions: Asia-Pacific, Europe, Latin America and the Caribbean, Middle East and North Africa, the US, and Canada, and sub-Saharan Africa.
Key Points:
i.As per the study, the most significant operating countries for fintechs include the USA, the UK, Singapore, Mexico, and India.
ii.Globally, average customer growth rate is above 50% across industry verticals and regions.
iii.Consumer growth emerged as the main factor of growth in Fintech sector. About 63% of fintech companies is optimistic about their regulatory environment.
iv.The report underlined some of the challenges faced by fintech industry: macroeconomic climate and decrease in fintech funding. It emphasized on the need of fostering collaboration between public and private sector.
Global Risk Report 2024:
The report titled “Global Risk Report 2024” released by WEF highlighted 3 key climate risks: Extreme weather events, critical change to Earth systems and biodiversity loss and ecosystem collapse, as top global challenges which needs urgent action.
This annual report is based on the Global Risk Perception Survey conducted by WEF which includes 1500 experts in academia, business and government.
Key points:
i.Overall the report has negative outlook for 2024.
ii.Misinformation and Disinformation will increase distrust in society and it is greatest global risk in next 2 years particularly for India.
- AI generated misinformation will be the main driving force for spreading misinformation and has the potential to polarize elections in countries.
iii.As per the report, 63% respondents believes that Environment risk was the overall greatest risk for long time period.
iv.Apart from misinformation and climate change, economic instability and inflation poses the global risk.
Main contributor for economic uncertainty will be increase cost of living and AI.
Recommendations:
i.Localised investment will help to regulate the impact of these global risks.
ii.It emphasis on international and regional collaboration but individual efforts will yield more positive results.
CII India Business Hub launched at Davos
i.Dinesh, President of CII and Charanjit Banerjee, DG of CII launched “CII India Business Hub” in Davos, Switzerland. this will act as forum to facilitate discussions on the growth of the Indian economy.
The hub is important part of CII’s campaign themed “Credible India”. It will highlight India’s recent achievement such as: simplification of procedures, removal of outdated laws, infrastructure development and more.
Maharashtra Govt Signs MoUs Worth ~Rs 3 lakh crore at WEF 2024
Maharashtra has signed memorandums of understanding(MoUs) worth Rs 3,53,675 crore at WEF 2024 in Davos, Switzerland.
These MoUs will create more than 2 lakh jobs in Maharashtra.
Key Points:
i.During the 1st day of WEF 2024, investment agreements worth Rs 1,02,000 crore was signed with 6 industries, with potential to generate more than 26000 job opportunities.
ii.On the 2nd day of WEF 2024, agreements worth Rs 2,08,850 crore were signed with 8 industries, with potential to generate more than 1.5 lakh job opportunities.
iii.On the 3rd day of WEF 2024, MoUs worth Rs 42,825 crore were signed with 6 industries, with a potential to create 13000 jobs.
Note:
i.MoUs have been signed with global giants like: Berkshire Hathaway and Greenko Energy projects.
ii.These MoUs will help to consolidate state’s position as India’s stable and dependable gateway for global investors.
iii.During the summit, Eknath Shinde, Chief Minister (CM) of Maharashtra held discussions with representatives of business giants like: Schneider Electric and Louis Dreyfus as well as senior delegates from South Africa and other countries.
Adani Group & Maharashtra signed MoU to invest Rs 50, 000 crore in data centers
Adani Enterprises Limited, the flagship company of the Adani Group, has signed an MoU with government of Maharashtra to invest Rs 50,000 crore over 10 years to set up 1GW(GigaWatt) capacity of hyperscale data center infrastructure.
- The MoU was signed in the presence of Maharashtra CM, Eknath Shinde and Adani Group Chairman, Gautam Adani at WEF 2024 in Davos.
i.The data centers will be established in Pune and Navi Mumbai and will be powered by renewable energy.
ii.It will provide 20000 direct or indirect employment.
Hyundai India acquired General Motor’s Talegaon Plant
Hyundai Motor India Ltd. (HMIL) announced that it has acquiredGeneral Motors India Private Limited (GMI)’s Talegaon plant in Maharashtra. Hyundai Motor India Ltd. Has committed to invest Rs 6000 crore in Maharashtra.
- The MoU was signed between Un Soo Kim, CEO of Hyundai India and Uday Samant, Industries Minister, Maharashtra during WEF 2024 in Davos(Switzerland).
Key Points:
i.Hyundai production capacity is expected to increase to 1 million from more than 8 Lakh.
ii.The plant with annual production capacity of 1.3 lakh units is expected to resume manufacturing in 2025.
Background:
GMI and HMIL signed the term sheet for the acquisition of the plant in March 2023 and HMIL signed the purchase agreement with GMI in August 2023.
Inox Air Products to set up Maharashtra’s 1st Green Ammonia Plant
INOX Air Products Private Limited, has signed an MoU with Maharashtra government to set up Maharashtra’s first Green Ammonia plant.
- The plant will be developed with an investment of USD 3 billion and will have production capacity of 5 Lakh MTPA(Metric Tonnes per Annum).
Note: INOX Air Products is a joint venture of INOX Group and USA based Air Products & Chemicals Inc.
Key Points:
i.The project is aimed to be commissioned in 3 to 5 years.
ii.It would produce Liquid Ammonia which could be a climate-neutral Hydrogen carrier.
Key People: The MoU was signed in the presence of Eknath Shinde, CM of Maharashtra, Siddharth Jain(Promoter and Director, Inox Group) and other dignitaries.
Telangana & WEF signed agreement to set up WEF C4IR in Hyderabad
On the sidelines of WEF 2024 summit, CM of Telangana A. Revanth Reddy signed an agreement with WEF President Borge Brende to set up WEF’s Centre for Fourth Industrial Revolution(C4IR) in Hyderabad, Telangana. This would be the 1st thematic centre in India.
i.The C4IR will be launched at Bio Asia(2025) scheduled to be in Hyderabad in February, 2025.
ii.Significance: It will give boost to development of latest technologies such as genomics and healthcare manufacturing.
Telangana & Adani group Signed 4 MoUs worth Rs 12400 crore
Telangana Government signed 4 MoUs with companies under Adani Group for an investment over Rs12400 crore at WEF 2024 annual summit in Davos, Switzerland. The MoUs aim to build the foundations for the economic growth of Telangana that is green, sustainable, inclusive, and transformative.
Signatories: The agreement was signed between A. Revanth Reddy, CM of Telangana and Gautam Adani , Chairman of Adani Group.
Details of the MoUs between Adani Group & Telangana
i.Adani Enterprises Limited (AEL) will invest over Rs 5000 crore to set up 100 MW (MegaWatt) data center in Telangana. It will be powered by renewable energy over the next 5-7 years and will generate 600 direct or indirect employments.
ii.Adani Green Energy Limited (AGEL) will invest over Rs 5000 crore to establish two pup storage project around 850 MW at Koyabestagudem and 500MW at Nacharam.
iii.Ambuja Cements will set up 6 MTPA Cement plant which will be built at the cost of Rs 1400 crore. It will generate job opportunities for over 4000 people. It will be commissioned over next 5 years.
iv.Adani Defence Systems and Technologies Limited will invest over Rs 1000 crore in research development, design manufacturing and integration of counter-drone and missile systems at Adani Aerospace Park in next 10 years. It is estimated to generate over 1000 jobs
Karnataka signed MoUs worth Rs 23000 crore at WEF meet
Karnataka government has signed 8 MoUs worth Rs 23,000 crore with global companies at WEF 2024 held at Davos, Switzerland.
The state delegation held more than 50 strategic meetings with global industry leaders: Nestle, HP, HC, Volvo Group, IKEA, Sony Microsoft, Hitachi.
Key Highlights:
i.Web Werks has decided to invest Rs 20000 crore to set up 100 MW data center in Bengaluru. It will generate employment opportunities for 1000 people.
ii.Hitachi has signed a MoU with primary objective of promoting economic growth in rural areas.
iii.Lulu Group plans to establish a new Rs300 crore food processing unit in Vijayapur and invest further in expanding its existing unit Kalaburgi. BL Argo also plans to establish food processing unit in Vijayapur.
iv.AB InBev India to invest Rs400 crore to increase manufacturing capacity of its liquor unit in Karnataka.
v.Overall Rs3000 crore investment will be made from various companies towards smart city infrastructure, renewable energy solutions and data centers.
WEF named Fluid Analytics a Top Innovator
California (USA) based Wastewater Analytics Company, Fluid Analytics Private limited, was named Top innovator for their work towards global freshwater conservation at annual summit of WEF 2024 in Switzerland.
About the Award:
i.The award is given by Up Link which is the open innovation platform of the WEF. HCL Tech in partnership with Up Link aims to create first-of-its kind innovation ecosystem that will support water focused entrepreneurs.
ii.Winners were selected through water focused zero water waste challenge which received applications from 192 global companies this year.
About Fluid Analytics:
i.Fluid Analytics, formerly known as Fluid Robotics Pvt. Ltd. was founded by Asim R. Bhalerao and Acumen Fellow, Nidhi Jain.
ii.It uses AI technology to monitor water and waste water infrastructure.
Note: Fluid Analytics also has presence in Canada(Toronto) and India (Pune, Maharashtra).
About World Economic Forum(WEF):
Founder and Executive Chairman– Prof. Klaus Schwab
Managing Director(MD)– Saadia Zahidi
Headquarter– Cologny, Geneva Canton, Switzerland
Established in 1971
