The special address by Javier Milei, the President of Argentina, centered on capitalism as a driver for economic growth and poverty eradication for countries like his was one of the standout features of this year's World Economic Forum (WEF) in Davos, Switzerland.

Dr. Anja Smith, a development economist affiliated with the Stellenbosch University and DNA Economics, told OFM Business Hour Milei’s address alongside that of Greece’s Prime Minister, Kyriakos Mitsotakis, were some of the highlights of the 54th annual meeting which was attended by about 3 000 policymakers, business executives, development organisations, academics, civil society leaders and innovators.

Eradicating poverty and generating wealth 

Milei who is a strong libertarian and economist said the vision of the West is no longer serving the rest of the world. The West embraces social democracy and a collectivist economy he said, however in countries like Argentina collectivist economies have typically led to impoverishment. 

Special address by @JMilei, President of Argentina #wef24 @ProfKlausSchwab https://t.co/NYUSQpeK9F

— World Economic Forum (@wef) January 17, 2024

Milei who came into office in December last year is already setting some big policy plans in motion for the Latin American nation. He believes only a capitalist system will lead to economic growth. While people view capitalism as evil because it’s individualist in nature, Milei stressed wealth is ultimately generated through a market discovery process. Smith said he cited economic history to support his assertion.

Javier Milei.

The Prime Minister of Greece Kyriakos Mitsotakis, spoke strongly on countering “Davos arrogance” in his address. He said "Greece struggles economically and it may be marginalised in terms of EU economic and political opportunities."

Kyriakos Mitsotakis. 

.@kmitsotakis (@PrimeministerGR) discusses Greece's progress on renewable energy and why he is 'bullish' on a Green Deal for Europe. #wef24 pic.twitter.com/CJtiZmDaqD

— World Economic Forum (@wef) January 18, 2024

ALSO READ: Bilateral relations between SA, Greece continue to be on good terms

AI, geopolitical tensions, and future risk 

Artificial Intelligence, geopolitical tensions, and risk in the future were some of the matters addressed at the summit. The theme was rebuilding trust amid uncertainty. “There’s a strong recognition that globally we find ourselves in a very uncertain place” explained Smith.

Gaza, Ukraine, and Red Sea conflicts require urgent resolution

Concerning geopolitical tensions, there is a clear sense that a two-state solution is urgently needed concerning the Gaza conflict.

“In the absence of finding solutions for Gaza and Ukraine/Russia, the world faces a very fragmented landscape, where countries are divided further,” said Smith.

ALSO READ: Equities tumble, oil rallies on red-hot Ukraine tensions

Concern as well was raised around the Red Sea conflict specifically attacks by Yemen’s Harti group on ships in the Red Sea. Smith said the implications thereof for global trade and shipping traffic are immense.

OFM Business Hour dg