Climate change could create $1.4 trillion annual financial shortfall by 2030, official says

Estimates suggest that climate change will result in a financial shortfall of $1 trillion annually from 2020 to 2025, and $1.4 trillion annually from 2025 to 2030.

Huseyn Huseynov, Head of the Secretariat of the National Coordinating Council for Sustainable Development and Department Head at the Ministry of Economy, addressed these concerns during the "Green Construction in Azerbaijan" roundtable held in Baku, Azernews reports.

Huseynov highlighted the challenge of addressing this financial gap solely through state funding: "It is crucial to engage the private sector in bridging this financing shortfall. However, government support remains essential."

He also noted that approximately 20 private construction companies in Azerbaijan now produce sustainability reports, a significant increase from just 2 companies previously.

Huseynov stressed the need for greater focus on environmental issues within the private sector. "Following an educational event with 50 private construction companies and UN Azerbaijan, the number of sustainability reports has risen. These reports not only enhance transparency but also help foreign companies understand and collaborate with our local businesses," he added.