UN warns climate change is putting growing pressure on economies worldwide

Wednesday 02 - 11:11

By: Azzat Manal

UN warns climate change is putting growing pressure on economies worldwide

The economic and social consequences of climate change are intensifying across countries every year, with no nation remaining fully protected from the effects of a warming planet, according to Simon Stiell, executive secretary of the United Nations Framework Convention on Climate Change.

Speaking at a session on the future of artificial intelligence governance during the Eastern Economic Forum in Vladivostok, Stiell stressed that climate-related risks are affecting economies and populations around the world, including Russia.

Extreme heat, melting permafrost, floods, wildfires and increasingly destructive storms are creating growing challenges for governments, businesses and households. Beyond the immediate damage caused by extreme weather, such events can disrupt production, damage infrastructure, increase insurance costs and push up prices for essential goods and services.

Stiell linked the worsening climate impacts to the continued large-scale use of coal, oil and gas, which releases greenhouse gases that trap heat in the atmosphere. He also pointed to deforestation and damage to the world’s oceans as factors contributing to the broader environmental crisis.

The growing economic cost of climate change has made climate action an increasingly important issue for governments and businesses. Investments in cleaner energy, resilient infrastructure and technologies that reduce emissions are increasingly viewed not only as environmental measures but also as tools for protecting economies from future shocks.

Stiell emphasized that international cooperation remains essential to addressing the challenge. Russia, he noted, continues to participate in global climate cooperation under the United Nations framework, including the UN’s annual climate conferences.

According to Stiell, maintaining active participation in international climate efforts could also serve Russia’s economic and social interests. The transition toward a lower-carbon economy is creating new opportunities in areas such as clean energy, technological innovation and energy efficiency.

As climate-related disruptions become more frequent and costly, governments are facing growing pressure to balance immediate economic priorities with long-term measures aimed at reducing emissions and strengthening resilience. International coordination, investment and technological development are likely to remain central to efforts to limit the economic consequences of climate change.