Grim scenario

Climate-related financial risks should be mainstreamed

Every year, on the eve of its high-profile conference at Davos, the World Economic Forum releases a report that outlines what its stakeholders believe are the major risks to the global order and to geo-economic stability. This year’s report is somewhat unusual, in that all top five risks, as estimated by the report, are related to climate change. The headline concern of the report is: “Climate and corresponding economic risks threaten a 2008-style systemic collapse unless net human-caused carbon dioxide (CO2) emissions fall by 50 per cent by 2030 relative to 2010, and to net zero by 2050.” The report