A new report from the United Nations says investing in a “low carbon, resource efficient green economy” is an effective way to stimulate economic growth and bring long-term stability to the global economy.
Published by the UN’s Environment Programme’s Green Economy Initiative, the report encourages investments in low-carbon economy on a scale equivalent to 2% of global GDP (approx. US$1.3 trillion).
“Misallocation of capital is at the center of the world’s current dilemmas and there are fast actions that can be taken, started literally today,” said UNEP Green Economy Initiative head Pavan Sukhdev. “From phasing down and phasing out the $600 billion global fossil fuel subsidies, to re-directing more than $20 billion subsidies perversely rewarding those in unsustainable fisheries.”
The UN report suggests funds should be reallocated to crucial areas and initiatives, such as “greening” agriculture, improving energy efficiency in buildings, supporting sustainable fishing and forestry, and new sanitation and recycling efforts in water and waste.