Due to the rising frequency of extreme weather events, their effects on vulnerable communities, and the risks they pose to banks’ loan portfolios, it is vital to embrace and encourage sustainable economic development.
The United Nations’ expert panel, the Intergovernmental Panel on Climate Change, recently issued a warning that countries must reduce their carbon emissions by about 43% by 2030.
If this is not done, global warming would speed up, making it impossible for countries to prevent an unthinkable calamity.
In addition to the financial benefits of investing in climate-smart solutions, it is important to note that banks that continue to finance customers with environmentally “dirty” products will pass up fresh chances for growth.
All ethical companies must actively promote community financial empowerment and environmental sustainability.
If they don’t, there will be uncertainty about the next generation’s financial security and sustainability in the future.