N🟁N

Climate-vulnerable countries push for credit rating overhaul

The article from Reuters discusses how climate-vulnerable countries are advocating for a significant overhaul of the global credit rating system. These nations argue that current credit ratings do not adequately account for the economic impacts of climate change, which disproportionately affects them. At the COP28 climate summit in Dubai, representatives from these countries, including finance ministers and central bank governors, are pushing for reforms that would recognize their efforts in climate adaptation and mitigation. They propose that credit ratings should reflect investments in green infrastructure and resilience measures, which could potentially lower borrowing costs and provide better access to international finance. This push comes amidst growing recognition that traditional economic metrics fail to capture the full scope of climate-related financial risks and opportunities.

Read the Full Reuters Article at:
[ https://www.reuters.com/business/environment/climate-vulnerable-countries-push-credit-rating-overhaul-2024-12-06/ ]