“Under destruction” – titles this year’s Munich Security Conference’s report.
“Under Destruction” is the title of this year’s Munich Security Conference report - and it could hardly be more fitting. For indeed, we have entered an era of wrecking-ball politics: sweeping, often mindless disruption, corroding institutions and deteriorating social cohesion. The drivers are hardly anchored in Enlightenment principles, or even basic common sense. They range from religious fanaticism in the Middle East to coddled prosperity-era socialism predominant in Europe, and from predatory capitalism, be it American or Chinese, to authoritarian Russian kleptocracy.
So, can Munich be a wake up call? Or do we need to prepare for the disoportunity and seek to benefit from it? This is exactly what Nassim Nicholas Taleb, a Lebanese-American professor and former option trader, argues in his book “Antifragile: Things That Gain From Disorder”. His core thesis is that in a volatile world with a lot of destructive uncertainty, the wise (economic) strategy would be antifragile by protecting against the downside while preparing to benefit disproportionately from potential external negative events and in all cases avoid fragility.
Looking at Raiffeisen Bank International AG's home market, Central, Eastern and Southeastern Europe (CESEE), under this premisis, current developments could be seen are promising. Because, instead of weakening the region, historical stress factors have accelerated adaptation, innovation and institutional learning. CESEE economies are increasingly among the growth drivers of Europe– and are becoming one of its most important strategic assets, especially in times of geopolitical tensions and technological disruption.