Finance Monthly May 2019 Edition

42 www.finance-monthly.com SPECIAL FEATURE - ECONOMY RISKS Rank Risk Number of countries at risk 1 Employment 31 2 Cyber-Attacks 19 3 Government Failure 15 4 Energy Prices 14 5 Fiscal Crisis 11 unemployment rates in Europe at 8.8%, despite a slight improvement this year. Employment has been an issue France has struggled with overcoming for a number of years, with 2018 seeing figures even higher at 9.1%. In addition, 2017 saw a whopping 200,000 and 330,000 vacancies unfilled, which has been explained by complaints from employers that there is a lack of skilled workers available. It is crucial that this issue is addressed to please both employers and employees and ensure a recovery from the risks that unemployment poses to their economy. However, France is implementing processes to reduce the risk employment poses to their economy. In March 2018, an announcement by the French Government revealed that by January 2020, each worker, including those who work part-time, will be able to spend €5,000 over their careers on training courses of their choice. Unemployment in Africa Of the 31 countries across the globe whose economies are threatened by employment, over two-thirds of these are in Africa, including Zimbabwe, Angola, and Nigeria. Interestingly, the bulk of people unemployed in Africa are youths, who account for 60% of those that are without work. Women are also greatly affected by unemployment, as figures rise at higher rates for them than men. Africa as a continent is considered relatively young, with the median age being around 19 years, which is only expected to reach 25 years by 2046. Young people are therefore making up about half of the population of most countries on the continent and will continue to do so in the next few decades. This information highlights how serious unemployment rates are to the economies of African countries, as the majority of the population are seriously affected. With many of these youths desperately wanting opportunities that will ensure a better life and future, it is pivotal that their governments and countries across the globe are taking action to ensure development schemes are implemented, giving more youths the opportunities they deserve. Cyber attacks are the biggest risk to the UK and US economy Cyber attack incidents have grown significantly over the last few years and erupt all across the media with millions of people having their data accessed illegally through some of the world’s most renowned companies, including Ticketmaster, HSBC and British Airways. These incidents have not only caused fear amongst many companies and the public but have also become the biggest risk to both the UK and US economies. The impact these attacks can have on so many individuals makes this a threat really felt by the public, showing the power of web-based terrorism. As a result of these threats, both the public and private sector are currently investing millions of pounds into installing cyber-security and ensuring companies and individuals feel safe on the web. Other issues that threaten country’s economies include failure of national governance, which impacts the likes of Greece, Ireland and Croatia, natural catastrophes affecting Iceland and China, and also energy prices which is the biggest risk to Australia. Will these countries manage to avoid the biggest threats to their economy?