Investors call for sustainable COVID-19 recovery

5th May 2020


Web norway windfarm shutterstock 549469963 1

Related Topics

Related tags

  • sea ice loss ,
  • Infrastructure ,
  • Global ,
  • Investment

Author

IEMA

Investors managing trillions of dollars in assets have issued a statement to governments calling for a sustainable economic response to coronavirus that helps tackle climate change and delivers net-zero emissions.

In a letter to governments, including all members of the G20, the investors warn that recovery plans that exacerbate climate change would expose economies to escalating financial, health and social risks.

Instead, they urge governments to prioritise sustainability and equity, and accelerate the transition to net-zero emissions to mitigate climate risk, create new jobs and catalyse private capital.

This will also be important to build resilience to future systemic shocks, according to the letter, which calls on countries to avoid the prioritisation of risky, short-term emissions-intensive projects.

“As governments pursue efforts to recover from this economic downturn, they should not lose sight of the climate crisis,“ the letter states.

“With trillions of dollars in capital under their management, investors will be critical to accelerating the recovery as it will require the efficient and equitable deployment of both public and private capital in fiscally-challenging times.

“Institutional investors take a long-term view of value and returns, and are therefore well-placed to assist governments devise multi-year recovery efforts.“

Signatories include the Asia Investor Group on Climate Change, CDP, Ceres, the Investor Group on Climate Change, the Institutional Investors Group on Climate Change, Principles for Responsible Investment and UNEP Finance Initiative.

These organisations form the The Investor Agenda, and call on governments to ensure the economic response to COVID-19:

  • Prioritises human relief and job creation
  • Upholds the Paris Agreement
  • Ensures government support addresses climate risk
  • Prioritises climate resiliency and net-zero emission economic solutions
  • Embeds investor participation in recovery planning.

“The path we choose in the coming months will have significant ramifications for our global economy and generations to come,“ the letter states.

“It is critical that governments work with investors, companies and workers to develop just and sustainable recovery plans. Our organisations that work with investors stand ready to help governments to invest in a better, more resilient future.“

Image credit: Shutterstock

Subscribe

Subscribe to IEMA's newsletters to receive timely articles, expert opinions, event announcements, and much more, directly in your inbox.


Transform articles

EU and UK citizens fear net-zero delivery deficit

Support for net zero remains high across the UK and the EU, but the majority of citizens don't believe that major emitters and governments will reach their climate targets in time.

16th May 2024

Read more

There is strong support for renewable energy as a source of economic growth among UK voters, particularly among those intending to switch their support for a political party.

16th May 2024

Read more

Taxing the extraction of fossil fuels in the world’s most advanced economies could raise $720bn (£575bn) by 2030 to support vulnerable countries facing climate damages, analysis has found.

2nd May 2024

Read more

The largest-ever research initiative of its kind has been launched this week to establish a benchmark for the private sector’s contribution to the UK’s 2050 net-zero target.

2nd May 2024

Read more

Weather-related damage to homes and businesses saw insurance claims hit a record high in the UK last year following a succession of storms.

18th April 2024

Read more

The Scottish government has today conceded that its goal to reduce carbon emissions by 75% by 2030 is now “out of reach” following analysis by the Climate Change Committee (CCC).

18th April 2024

Read more

The Science Based Targets initiative (SBTi) has issued a statement clarifying that no changes have been made to its stance on offsetting scope 3 emissions following a backlash.

16th April 2024

Read more

While there is no silver bullet for tackling climate change and social injustice, there is one controversial solution: the abolition of the super-rich. Chris Seekings explains more

4th April 2024

Read more

Media enquires

Looking for an expert to speak at an event or comment on an item in the news?

Find an expert

IEMA Cookie Notice

Clicking the ‘Accept all’ button means you are accepting analytics and third-party cookies. Our website uses necessary cookies which are required in order to make our website work. In addition to these, we use analytics and third-party cookies to optimise site functionality and give you the best possible experience. To control which cookies are set, click ‘Settings’. To learn more about cookies, how we use them on our website and how to change your cookie settings please view our cookie policy.

Manage cookie settings

Our use of cookies

You can learn more detailed information in our cookie policy.

Some cookies are essential, but non-essential cookies help us to improve the experience on our site by providing insights into how the site is being used. To maintain privacy management, this relies on cookie identifiers. Resetting or deleting your browser cookies will reset these preferences.

Essential cookies

These are cookies that are required for the operation of our website. They include, for example, cookies that enable you to log into secure areas of our website.

Analytics cookies

These cookies allow us to recognise and count the number of visitors to our website and to see how visitors move around our website when they are using it. This helps us to improve the way our website works.

Advertising cookies

These cookies allow us to tailor advertising to you based on your interests. If you do not accept these cookies, you will still see adverts, but these will be more generic.

Save and close