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The World Competitiveness Center has predicted that a global financial crisis is likely, and not enough action is being taken to avoid it.
Director Arturo Bris said the global economy was facing its greatest challenges since 2008 – and that a new financial crisis could arrive within one year.
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He said that statistics showed the world could expect a financial crisis as early as April 2015, ending in March 2016.
Mr Bris said a real estate bubble was one of eight potential causes.
“There is a risk of a property bubble forming in countries like Brazil, China, Canada or Germany,” he said.
“Prices are going up because availability of credit is huge and buyers are pushing prices up without realising that they do not correspond to fundamental values.”
The other possible causes of a financial crisis are war, hyperinflation, a Chinese banking crisis, an energy crisis, a stock market bubble, corporate bankruptcy and rising poverty.
“While many economies seem to be finally rebounding since the 2008 crisis, we shouldn’t be complacent,” Mr Bris said.
“Too often, we do not learn from history and do not act when faced with a crisis we know is imminent.”
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