Rösler and WEF form an impressive team

Philipp Rösler joined the WEF after leaving German politics. As he prepares for its 46th annual meeting in Davos, he talks of the debate to come on ‘the fourth industrial revolution’, invention and innovation.

Philipp Rösler's global background and liberal economic philosophy pretty much sum up the WEF’s own world view. Frabrice Coffrini / AFP

Philipp Rösler rose to the second highest political job in Germany from humble origins as a Vietnamese orphan, cultivated impeccable liberal credentials as leader of the Free Democratic party and, as minister of economics and technology, presided over a boom period.

During that time, for two-and- a-half years from 2011 to 2013, he also served as vice chancellor under Angela Merkel, a time when Germany was cementing its position as leader of the European Union and as an economic power trying to drag the continent out of crisis.

That was a CV that made him irresistible to the World Economic Forum (WEF) when, in 2013, he quit German politics following a bruising electoral defeat for his party, and amid whispers of racism by the country’s political establishment.

As he prepared for the 46th annual meeting of the WEF in Davos, Mr Rösler was reluctant to talk in depth about German politics, but said: “I’m pretty happy to be in Geneva [the WEF’s headquarters] when I see what’s going on in Germany.”

The WEF must be pretty pleased to have him there too. His global background and liberal economic philosophy pretty much sum up the WEF’s own world view. His main responsibility on the board is global director of the regional events the forum organises, not least the summit that took place in Abu Dhabi in October.

All of which gives Mr Rösler a good insight into the issues that will dominate Davos debate this year. The official headline theme – “the fourth industrial revolution” – is first on his list.

“It’s all about the effects of invention, innovation and disruption on society and business. For example, Uber is often seen as a disrupter in the taxi business but its own business is being simultaneously disrupted by the threat of self-drive cars. We will provide a platform to discuss things like that,” he said.

That should be an interesting discussion, but Davos this year takes place as world financial markets convulse under pressure from falling oil prices, and doubts about the Chinese economy and American interest rate policy. What can the WEF do in a practical way about those pressing issues?

“Sure, those problems will have to be addressed. We have the lowest oil price [in] a long time and worries about China and world growth. We have 25 economics and finance ministers from around the world at Davos and you can be sure those issues will be addressed.

“They can be seen as part of the ‘fourth industrial revolution’ debate. How do we provide growth and jobs in the new era? There is a view that current trading structures are not that successful and maybe WEF can bring trade together in a better way. It’s a question of old trade versus the new digital trade,” Mr Rösler said.

The humanitarian crisis caused by refugees from regional conflicts will also be addressed in a practical way.

“In the past the only concrete measures to deal with refugees was to ask for money for camps, but we think money should go to support entrepreneurial activity in the neighbouring countries directly affected, in Jordan, Turkey and Lebanon.

“That way you would be helping people to prepare to go back, helping them create an economic platform for recovery in Syria,” he said.

The Middle East will figure high on the Davos agenda, Mr Rösler believes. The foreign ministers from Saudi Arabia and Iran are both expected to attend. “We will offer them a platform to come together,” said Mr Rösler, with a nod to the Davos deal 25 years ago that brought peace to Turkish and Greek communities in Cyprus, one of the WEF’s great diplomatic successes.

The large UAE delegation will receive a warm welcome, he said. “We have an ongoing relationship with the UAE because of the staging of the summit there every year, and the country is very much part of the fourth industrial revolution debate, with its emphasis on diversification and smart infrastructure. It is much appreciated by the WEF community that we have such an open government and business-friendly partner.”

The migrant influx in Germany has brought its own problems for his country, but he does not want to discuss those in detail.

His former boss, Ms Merkel, usually a Davos stalwart, has decided against attending this year, but there will be top-level delegations from Germany, France and the UK, although the latter, with a vote of exit from the EU looming, will not be sharing the same platform. Instead, there will be a separate address from David Cameron, the British prime minister.

“Europe is a political project built upon peace and understanding. Germany is just one of 28 countries in the EU and it has only one voice, but of course it will play its part,” Mr Rösler said.

So the WEF is all about dialogue, peace and understanding, but there are limits.

A delegation from North Korea – the first from the country since 1989 – was struck off the invite list at the last minute following the recent nuclear weapons test in the country.

“We just could not maintain the invitation,” Mr Rösler said.

You got the feeling he would like to say more.

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