Today’s world is interconnected like never before, but it is actually less globalized than many people assume.
Globalization has profoundly changed the way we live – and will continue to do so. Today’s world is interconnected like never before. For individuals, this can mean greater cultural diversity, more choice, and more opportunity to learn and develop. For businesses, globalization is opening new markets and opportunities. And for many countries, the move to integrate into cross-border flows is translating into faster development and innovation.
This backlash against open borders only adds to the sense of living in a fragile world.
At the same time, recent political developments serve as a powerful reminder that we cannot take for granted the international openness that we have enjoyed for some time now. In many countries, we have seen growing resistance to the free movement of goods, capital and people. Against the backdrop of geopolitical tensions and the growing threat of climate change, this backlash against open borders only adds to the sense of living in a fragile world.
Still, there are good reasons to look to the future with confidence. While many expected globalization to take a severe hit after the Brexit referendum and the recent wave of US protectionism, the new DHL Global Connectedness Index (GCI) shows that the opposite has happened.
A record high
In fact, globalization has gained momentum and advanced to record levels. In 2017, flows of goods, capital, information and people all intensified significantly for the first time since 2007. And recent data suggests that this growth continued through 2018, though at a more moderate pace.
The 2018 GCI report paints a rich picture of the state of globalization, with insight into both the extent and limits of globalization today. It shows, for example, that the world is indeed more interconnected than ever before, but also less globalized than many people assume. In this way, it serves as a fact-based rebuttal to those who claim that globalization is reversing and those who believe we already live in a hyper-globalized, “flat” world.
I believe that becoming more connected is the only way to move from a fragile world to a world of solid, shared and sustainable progress.
Globalization may be under pressure, but the knowledge flows driving today’s global economy and technological advances are, in my opinion, too strong to be stopped. We can be thankful for this! Because stronger international ties and the spread of innovation are still the keys to a better future for our planet. Indeed, I believe that becoming more connected is the only way to move from a fragile world to a world of solid, shared and sustainable progress.
The DHL Global Connectedness Index digs deep into the data to uncover the real story behind globalization. I hope you will find it a source of insight and optimism.