G20 countries’ policies make it difficult to attract green investment needed to tackle climate change, report warns

Name: More droughts and floods expected, billions of people to face insufficient access to water
Uploaded: 2021-10-18T12:00:16.000Z
Duration: 2 min 13 s
Description: More droughts and floods expected, billions of people to face insufficient access to water

UK and European Union are the most attractive destinations for green investment, while Russia and Saudi Arabia are among the least attractive

The G20 countries account for 80 per cent of global greenhouse gas emissions and more than 80 per cent of global GDP

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Activists demonstrate in front of the IMF headquarters in Washington on October 13, as they urged rich nations to keep their commitment to help tackle climate change. Photo: AFP

Yujie Xuein Shenzhen

Published: 8:00pm, 18 Oct 2021Updated: 8:55pm, 18 Oct 2021

The Group of 20 (G20) leading economies have significant policy hurdles that discourage green investment to tackle the growing climate crisis and around a third of them have yet to commit to net-zero emissions, a study by three major global investor groups found.

Most G20 countries do not have policies in place to attract the urgent investment needed in areas such as zero emissions and climate-resilient transition, according to the report released by Asia Investor Group on Climate Change (AIGCC), Ceres Investor Network and Investor Group on Climate Change (IGCC) on Monday.

The United Kingdom and European Union are the most attractive destinations for green investment, but substantial improvements can still be made, the report showed. It also found that Argentina, Australia, China, India, Indonesia, Mexico, Russia and Saudi Arabia are among the least attractive countries for green investment in the G20.

“Investors understand that climate risk is investment risk,” said Rebecca Mikula-Wright, chief executive at AIGCC. “Across Asia, Australia and New Zealand, we are urging governments to step up and commit to clear and strong climate policies that will unlock the capital needed to transition to a net-zero economy.”

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More droughts and floods expected, billions of people to face insufficient access to water

The findings are significant as G20 countries account for 80 per cent of global greenhouse gas emissions and more than 80 per cent of global gross domestic product.

It is also alarming as with less than two weeks left until the United Nations climate change conference, also known as COP26 to be held in Glasgow, there is little time left for countries to commit to more ambitious and effective policies to address the climate crisis.

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