If we want clean energy, stock market investors will buy it
Shifting the world’s financial system towards 50% equity financing could cut carbon emissions by 12%
If the world is to curb climate change, dizzying sums will have to flow into clean energy. Tens of trillions of dollars will have to be found over the next 30 years.
That message is no longer the preserve of placard-wielding protestors. Yet there is still a debate over how best to mobilise the green finance industry. That – and the standards it should work to – needs to be settled fast.
The relationship between finance and the environment is poorly understood, research published by the European Central Bank acknowledged this week. Do financial markets damage the environment by fuelling economic growth? Or do they make economies more sustainable by favouring green sectors?..