Why we need radical action and courageous leadership in 2025 to build a sustainable future

As we prepare for the next Annual Meeting in Davos, we look back on a year rife with conflict and uncertainty. The year 2024 will go down as an inflection point in history, where international relations, entire economies and even the values that underpin our democracies were put to the test. This has left many in the world feeling apprehensive about the future.

Though the challenges the world faces have grown, I do not believe this is a time to withdraw from the task at hand. On the contrary, I believe the challenges we face are a sign that now, more than ever, is the time to stand up and act, with conviction. It is a time to reaffirm what the World Economic Forum calls its commitment to “improving the state of the world.”

The world is in dire need of action. Geopolitical tensions and all-out war were on the rise, and despite continued climate agreements, efforts to reduce greenhouse gas emissions stalled, with the United Nations’ Emissions Gap Report 2024 projecting a possible temperature rise of 3.1C. The challenge is only exacerbated by the results of elections in some countries. But one thing is clear: inaction would have catastrophic consequences – from economic strain to severe disruptions in daily life as climate change drives extreme weather events, resource scarcity, and displacement.

We have the technology to combat climate change, but it needs to be mobilized. Artificial intelligence (AI) and digital technologies – which saw an accelerated rate of innovation last year – could be part of the solution, since they can enable more efficient use of resources and thereby drive down our environmental impact across sectors. But these nascent technologies also face their own obstacles: misuse and overregulation.

For all the benefits of AI, people and governments have rightly raised concerns about the ethical use of AI and potential exploitation by bad actors. Governments around the world are turning to regulation to address the complex challenges associated with AI. But while regulation is needed, lasting progress will come not from imposing limits, but from fostering innovation that transcends barriers. Innovation, throughout history, has been the linchpin to progress. So, if we are truly to shake up the status quo, then we must avoid prolonged debates and instead prioritize rapid, courageous action. This idea is not limited to AI alone. It extends to progress as a whole.

The past 150 years of industrialization have given rise to value chains that, despite many years of continuous improvement, are riddled with inefficiencies, pollution, and excessive costs. Incremental improvements within these systems are not enough to address the scale of challenges we face. Our manufacturing processes are resource and carbon-intensive, our food supply chains are unhealthy and wasteful, and our healthcare systems are straining under the weight of ageing populations and soaring costs. Unless we adopt a radically new approach, continuous improvements to industries like these will not be sufficient for the speed and scale the world needs.

The time has come for a paradigm shift in how we approach these challenges. As George Bernard Shaw once said, “There are those that look at things the way they are, and ask why? I dream of things that never were, and ask why not?”

Imagine a manufacturing industry that is fully circular, automated, and carbon neutral. Advances in robotics, AI, and renewable energy make this vision achievable. Picture food systems designed to be sustainable, waste-free, and focused on health – feeding populations equitably and efficiently. And envision healthcare that emphasizes prevention and wellness, using technology to promote longer, healthier lives at lower costs.

The solutions are within our reach, yet they require a bold departure from conventional thinking. Addressing the underlying structures of entire value chains is essential to achieving sustainable, transformative progress. It is no longer enough to operate within silos; we must foster cross-industry collaboration and innovation to drive systemic change.

In the face of escalating challenges, some have called for a retreat from globalization. However, to tackle global crises effectively, we need more, not less, global cooperation. The most pressing issues – climate change, health, poverty, and technology governance – are challenges without borders that therefore demand collaborative solutions. Nations, industries, and startups worldwide must unite to accelerate the development and scaling of impactful innovations. The good news is that we have most of the solutions – we just have to get it done, and at the necessary speed and scale.

A future where global collaboration thrives is one where technological advancements are shared, startups are supported to scale globally, and countries work together instead of in isolation. This means embracing the responsible use of AI and fostering a culture of openness and transparency over restriction.

We can see in the political shifts taking place all over the world that there is a resurgent push toward isolationism. Many are retreating into their own corner. It feels safe, but it’s not. Any benefits isolationism presumably bring are short lived at best. In the long term, the benefits of working together far outweigh the perceived risks of depending on others. And there is historical precedent. Countries that withdraw from their neighbours fare more poorly than those who extend a hand.

Through the ages, progress has always been inextricably linked to the exchange of ideas and goods. From the Phoenicians and the birth of our alphabet to a new world order after the fall of the iron curtain – trade and collaboration have been paramount to accelerating progress, lifting incomes and improving the quality of our lives. Accelerated globalization after the end of the Cold War cut the number of people living in extreme poverty in half. That was real progress – and it was because countries embraced a worldview of global cooperation.

There is nothing that people cannot achieve when they come together. And that is why I remain convinced that it’s possible to solve even the biggest challenges we face today. The willingness and the technologies to shape a better future exists, but now it’s a matter of translating that willingness into action through focused and determined collaboration, guided by courageous leadership.

Let 2025 be remembered as the year the world decided to ask, “Why not?” and took the bold, necessary steps toward improving the state of the world for generations to come.