World Economic Forum (WEF)
Content
- Latest News
- What is the World Economic Forum (WEF)?
- Historical Background
- Annual Meeting in Davos
- Core Functions and Reports
- Global Risks and Outlook (2026)
- Significance
Latest News
The World Economic Forum (WEF) 56th Annual Meeting is currently underway in Davos, Switzerland (19-23 January 2026) under the theme “A Spirit of Dialogue.” The meeting has drawn record participation from global leaders spanning politics, business, civil society and academia to address pressing global challenges including geoeconomic tensions, innovation, jobs, and cooperation in a fragmented global order.
What is the World Economic Forum (WEF)?
The World Economic Forum is an international organisation for public-private cooperation that seeks to shape global, regional and industry agendas by engaging leaders from governments, businesses, civil society, and academia. It is based in Geneva, Switzerland and is best known for its Annual Meeting in Davos.
Historical Background
Foundation: WEF was founded in 1971 by Klaus Schwab, a German academic, originally as the European Management Forum.
It was envisioned as a platform where business and political leadership could meet to discuss economic and management concerns. Over time it expanded its focus to cover broader social and global issues.
Evolution:
- 1973: With global economic turmoil (e.g., Bretton Woods system collapse), the forum broadened its agenda.
- Membership System: Later introduced a member system for around 1,000 leading global companies.
- 1987: Renamed as the World Economic Forum to reflect its global role.
- 2015: It was formally recognised as an international organisation.
WEF introduced the idea of “stakeholder capitalism,” advocating that corporations should generate long-term value for all stakeholders, including employees, communities, and society, not just shareholders.
Annual Meeting in Davos
The Davos meeting brings together around 3,000 participants, including heads of state, CEOs, thinkers, innovators and youth leaders, to deliberate on global issues across policy, economy, technology, environment and society.
Davos 2026 Highlights:
- Record governmental participation with about 65 heads of state and nearly 850 top CEOs.
- Discussions focus on global cooperation in a contested world, inclusive growth, innovation, jobs, and sustainability.
- The theme “A Spirit of Dialogue” aims to rebuild trust and encourage cross-sectoral cooperation in an increasingly fractured global system.
Core Functions and Reports
WEF does not make binding policies but influences global thinking through research and partnerships. Its major reports include:
- Global Competitiveness Report
- Global Gender Gap Report
- Global Risks Report
- Energy Transition Index
- Future of Jobs Report
These reports are widely used by governments and organisations for policy planning and comparative benchmarking.
Global Risks and Outlook (2026)
The Global Risks Report 2026 identifies geoeconomic confrontation (economic rivalry involving sanctions, tariffs and trade controls) as the top short-term global risk, surpassing armed conflict and climate extremes. It reflects rising fragmentation in the global order and the erosion of longstanding multilateral mechanisms.
The WEF’s Chief Economists’ Outlook warns that global economic conditions could weaken in 2026 due to mounting debt, geopolitical tensions and technological disruption, despite some improvement from previous forecasts.
Diplomatic and Geopolitical Significance
- WEF Annual Meetings have occasionally served as platforms for diplomatic engagement on issues beyond economics, such as North-South Korea ministerial contacts in past decades and discussions around global security and cooperation.
- The presence of the US, China, and other major delegations at the 2026 meeting is shaping global economic diplomacy and multilateral dialogue.
- Several countries and regions use Davos to showcase policy initiatives and investment prospects, such as India’s state-level engagements and GIFT City’s global financial outreach.
Criticisms and Challenges
WEF has faced criticism for being an elitist forum where discourse does not always translate into action on inequalities or enforceable commitments. However, organisers argue that the platform’s role is to create space for dialogue, partnerships and co-creation among diverse stakeholders.
