Climate finance. A review.
26 July 2018 | Adaptation
Ekonomiaz's 93rd monograph, the Basque Journal of Economics, has just published an article by Iker Larrea, Partner and Director of Factor's Markets Division, Ibon Galarraga, Partner and General Director of Metroeconomica, and Kepa Solaun, Partner and General Director of Factor.
The article entitled: "Climate finance. A review", aims to provide an overview of "Climate Finance", a term that refers to the need to provide financial resources to fight climate change, in terms of both mitigation and adaptation. Strictly speaking, climate finance refers to international commitments made by developed countries since 2009.
From a theoretical point of view, climate finance opens interesting discussions with respect to the underlying reasons for «mitigation bias» (i.e. a preference for mitigation over adaptation), the global public good nature of adaptation to climate change and technology transfers as an alternative or supplement to financial transfers.
From a practical point of view, climate finance is concerned with gradually factoring climate issues into the financial system by creating «green» products and including climate risks in the financial disclosure obligations.
In conclusion, the article highlights the difficulties of a homogeneous definition, the description of financial flows, the imbalance between flows for mitigation and adaptation, some basic concepts that make up the theoretical basis, and the response of the financial sector.
For more information we share the link where you will find the complete article:
Since 2004, Factor has been offering technical consulting and market services for governments and international organizations, as well as for more than 400 companies.
Metroeconomica is an independent consulting group specializing in economic and public policy analysis with a special emphasis on environmental issues, natural resources and sustainable development.
In July 2017 Metroeconomica began a new stage in Bilbao, joining forces with the Factor group.