The world’s financial sector must do more to tackle climate change by investing more carefully, Germany’s Environment Minister Barbara Hendricks said ahead of international talks in Paris on Tuesday.
“It’s about directing all investments worldwide towards climate-friendly options.
“Investors should also analyse climate risks in their portfolios and be transparent about how compatible their investment strategies are with the Paris climate agreement.
“Large, listed companies must lead the way,’’ she said.
Two years after the signing of the Paris climate agreement, French President Emmanuel Macron is hosting more than 50 heads of state and government at the One Planet Summit at which finance and its relationship to climate change will be high on the agenda.
“Unlike traditional climate negotiations, it won’t be countries that are in focus, it will be business and banks,” said Hendricks.
The minister added that the summit showed that the worlds of finance and economy were taking note of the Paris agreement.
“Its implementation is unstoppable,” Hendricks continued, “in spite the U.S. decision to withdraw.”
Macron has been one of the most prominent critics of U.S. President Donald Trump’s decision to pull out of the Paris agreement but told the broadcaster on CBS on Monday he was “ready to welcome him if he decides to come back”.