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Janet Yellen on financing a sustainable future

Shutterstock The following remarks were made last week by U.S. Treasury Secretary Janet L. Yellen’s to the Institute of International Finance. I first started working on climate change in the 1990s, advising President Clinton as Chair of the Council of Economic Advisers in the run-up to the 1997 Kyoto Conference of Parties. We understood that the potential cost of climate change was significant.  Of course, we know what the trajectory has been ever since. Over the past 30 years, the incidence of natural disasters has dramatically increased, and the actual and future potential cost to the economy has skyrocketed. We are now in a situation where climate change is an existential risk to our future economy and way of life. If left unaddressed, climate change will leave us grappling with fundamental questions like: What are the consequences for our coastal cities and communities? What will happen to our farmers and cost of food after droughts and flooding decimate farmland? How wil

Fed Res, BoE, IASB call for cleaner climate-related financial disclosures

Fed Res, BoE, IASB call for cleaner climate-related financial disclosures Regulators outline importance of transparency and the challenges in developing a standardised framework by Jeremy Chan - April 23, 2021 Regulators from the Federal Reserve, Bank of England (BoE) and the International Accounting Standards Board (IASB) have stressed the importance in developing common standards to climate-related financial disclosures. “Climate change and broader sustainability issues are urgent global challenges,” said Sue Lloyd, vice chair of the IASB, while speaking at the IIF’s sustainable finance summit. “Reporting on sustainability has become increasingly important in capital markets and although there are already many good initiatives in this area, there’s been an increased call from investors and others for more consistency, comparability and reporting about sustainability internationally.”

Yellen says private sector will need to fill the gap in the transition to a green economy

Yellen says private sector will need to fill the gap in the transition to a green economy By Sarah Ewall-Wice April 21, 2021 / 7:06 PM / CBS News Treasury Secretary Janet Yellen said Wednesday the investment needed to transition to a green economy would be enormous and private financing would play a major role in its completion. While the American Jobs Plan promoted by President Joe Biden provides direct funds and tax credits toward the effort, meeting the total cost will require more.  Yellen referenced one estimate placing the needed investment in the United States alone at $2.5 trillion over 10 years. Private capital will need to fill most of that gap, Yellen said.

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