Without rapid climate action, countries face severe climate impacts, rising capital costs and stunted growth. The Intergovernmental Panel on Climate Change highlights the urgent need to address anthropogenic climate change, as it is already causing significant physical impacts.
This report underscores the critical importance of limiting global warming to above pre-industrial levels to avoid catastrophic consequences. It presents data showing the financial toll of climate risks, such as higher interest payments for vulnerable nations.
Additionally, it discusses the transition risks faced by fossil fuel-dependent countries, including credit rating downgrades and defaults.