WEF Chair Warns of Potential Financial Bubbles in Global Markets

According to PANews, World Economic Forum (WEF) Chair Børge Brende highlighted on Wednesday the potential emergence of three financial bubbles that could impact global markets. During his visit to São Paulo, Brazil's financial hub, Brende identified cryptocurrency, artificial intelligence (AI), and debt as areas of concern. Brende emphasized that government debt levels have reached unprecedented heights since 1945. He noted that while AI holds the promise of significantly boosting productivity, it also poses a threat to numerous white-collar jobs. "In the worst-case scenario, we might witness phenomena similar to the 'Rust Belt' in the United States, particularly in major cities with a high concentration of back-office and white-collar positions, which are more susceptible to AI replacement," Brende explained. He cited recent announcements from companies like Amazon and Nestlé regarding layoffs as indicative of this trend.