We must build resilience to face the future - but will we be fast enough?

The author asserts that climate change is increasing the frequency and intensity of extreme weather events, leading to significant human and economic losses. To address this, the document advocates for stronger public-private partnerships, such as the Caribbean Catastrophe Risk Insurance Facility, and proposes three policy focuses: encouraging private capital market solutions, creating a tradable infrastructure asset class to close a $97 trillion financing gap, and promoting sustainable investing through a common taxonomy for ESG investments.

• Climate change is driving an increase in the frequency and intensity of extreme weather events, resulting in over 11,000 deaths in 2018 and total economic losses from natural and man-made disasters estimated at $155 billion for that year, with only $79 billion insured.
• The global economy's capacity to absorb shocks has decreased over the last decade due to higher debt burdens, weaker financial market structures, and a shift toward less openness.
• Public-private partnerships (PPPs) are essential for financial resilience; an example is the Caribbean Catastrophe Risk Insurance Facility (CCRIF), which uses parametric policies to provide Caribbean nations with rapid emergency funding without requiring time-consuming ground assessments.
• To address an estimated $97 trillion infrastructure financing gap through 2040, the author proposes creating a tradable infrastructure asset class based on standardization and transparency, which could unlock $30 trillion in assets under management from the re/insurance sector for low-carbon projects.
• Policymakers are encouraged to develop a common taxonomy for sustainable finance and a risk-based regulatory framework for environmental, social and governance (ESG) investments to integrate sustainability into financial analysis.

APA

Mumenthaler, C. (2019). We must build resilience to face the future - but will we be fast enough? World Economic Forum. https://www.weforum.org/stories/global-risks/we-must-build-resilience-to-face-the-future-can-we-do-it-fast-enough/

Chicago

Mumenthaler, Christian. We must build resilience to face the future - but will we be fast enough? World Economic Forum, 2019. https://www.weforum.org/stories/global-risks/we-must-build-resilience-to-face-the-future-can-we-do-it-fast-enough/.

Wikipedia

{{cite press release |last1=Mumenthaler |first1=Christian |title=We must build resilience to face the future - but will we be fast enough? |publisher=World Economic Forum |date=23 January 2019 |url=https://www.weforum.org/stories/global-risks/we-must-build-resilience-to-face-the-future-can-we-do-it-fast-enough/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{mumenthaler2019must, author = {Mumenthaler, Christian}, title = {{We must build resilience to face the future - but will we be fast enough?}}, publisher = {World Economic Forum}, year = {2019}, month = jan, url = {https://www.weforum.org/stories/global-risks/we-must-build-resilience-to-face-the-future-can-we-do-it-fast-enough/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }