<
https://www.forbes.com/sites/davidrvetter/2021/07/05/how-climate-investment-traps-create-a-vicious-cycle-for-african-nations/>
"The high cost of accessing sustainable investment is preventing developing
countries from decarbonizing their economies, but levelling the finance playing
field could help accelerate poorer nations’ climate readiness by a decade, new
research has shown.
In the race against time to cut emissions and prepare for the effects of global
warming, nations are seeking to decarbonize their economies in ways that bring
multiple benefits to their people. But the report, from University College
London (UCL) and published in the journal Nature Communications, finds that
developing countries could be caught in “climate investment traps,” whereby the
higher cost of capital in those countries combines with increasingly extreme
climate impacts to make credit even less accessible. The effect of these traps
will be felt most acutely in the poorest African nations such as Madagascar,
which is currently undergoing a catastrophic, climate-driven famine (link may
be paywalled).
The scenario exemplifies the phenomenon of climate injustice: simply put, the
nations that have done the least to cause climate change are those that will
suffer most from its effects, as highlighted by the Intergovernmental Panel on
Climate Change.
But the UCL report reveals that making adjustments to the way big financial
institutions provide money to these nations could break this cycle,
accelerating a green transition in the developing world by a decade."
Via Robert Sanscartier.
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
