European Central Bank President calls for readiness in addressing challenges to international order

European Central Bank President Christine Lagarde has emphasized the need for readiness in tackling the challenges to the international order, which she believes will be a long-term issue for the world.

In an exclusive interview with the China Global Television Network (CGTN) on Wednesday on the sidelines of the ongoing 2026 annual meeting of the World Economic Forum (WEF) in the Swiss Alpine town of Davos, Lagarde highlighted that the recent global developments and the geopolitical uncertainties are hindering economic progress and impacting people's lives.

"Whenever there is war in the world, and there is plenty of that at the moment, it is a break on economic development, it is a break on growth, and obviously it is affecting the life of people," said Lagarde.

Speaking at a discussion panel at the forum, the ECB president said "The curtain is rising on a new world order," where global cooperation, free trade, and the U.S. leadership are being replaced by a more fragmented landscape.

Regarding this new order, She told CGTN that it presents a long-term challenge that requires preparation.

"The challenge to the international order, which is a longer-term issue, which requires that we prepare ourselves, and that maybe we change the way in which we operate, is a more medium and long-term issue," said Lagarde.

With the theme "A Spirit of Dialogue," the 2026 annual meeting of WEF meeting opened on Monday and will run through Friday. About 3,000 leaders and experts from around the world are gathering to discuss five pressing global challenges, including enhancing cooperation, unlocking new sources of growth and deploying innovation at scale and responsibly.

-China Global Television Network/Reuters