In its latest Global Risks Report released ahead of the annual gathering in Davos, the World Economic Forum identified the proliferation of false and misleading information as the top immediate risk to the global economy. The report, based on a survey of experts, industry leaders, and policymakers, emphasized the critical role played by cutting-edge artificial intelligence in accelerating the spread of misinformation and disinformation.

The report specifically highlighted the advancement of generative AI chatbots like ChatGPT, which has made it increasingly easier for individuals to create sophisticated synthetic content that can manipulate and deceive groups of people. This poses a significant concern as billions of people in countries such as the United States, Britain, Indonesia, India, Mexico, and Pakistan are preparing for upcoming elections in the next two years.

The potential implications of AI-powered misinformation are far-reaching. According to Carolina Klint, a risk management leader at Marsh, societies could become further divided as the difficulty in fact-checking information increases. The spread of fake news could raise doubts about the legitimacy of elected governments, undermining democratic processes and driving societal polarization to even greater extremes.

Furthermore, the rise of AI brings additional risks as it empowers malicious actors in carrying out cyberattacks. With automation, even those lacking specialized skills can orchestrate phishing attempts or create advanced malware.

Klint also warned of the potential for AI to perpetuate biases in data. AI systems trained on poisoned data scraped from the internet may embed and reinforce existing biases, making it incredibly challenging to reverse these effects.

While AI-powered misinformation was identified as the most severe immediate risk, the report also highlighted environmental risks as the biggest long-term threats. Extreme weather ranked as the second-most-pressing short-term risk, preceding critical changes to Earth systems, biodiversity loss, ecosystem collapse, and natural resource shortages.

Looking ahead, Klint expressed concerns that irreversible climate change tipping points could be reached within the next decade as Earth's systems undergo long-term transformations.

With the potential impact on democracy, society, and the environment, addressing misinformation and disinformation powered by AI has become an urgent global priority. The World Economic Forum's report underscores the need for proactive strategies to combat this growing risk and safeguard the global economy and democratic processes.