Asian cities are significant contributors to climate change. Cities in the region are also hubs of economic activity, centers of financial capital and talent, and incubators of innovation and progress. The report offers frameworks, recommendations, and case studies to illustrate how cities could leverage their unique strengths and evolve their development models to concurrently pursue climate resilience, poverty reduction, and biodiversity protection goals.
At the COP27 meeting in Sharm El-Sheikh, climate negotiators laid out a plan to implement the global goal of limiting warming to 1.5 degrees Celsius. The private sector must play a role in meeting climate targets and can build on that momentum. With this statement, Asian business leaders have committed to taking climate action and to safeguarding and managing nature sustainably.
The Council also conducted a survey (see box on the left below) to understand what drives corporate climate action in Asia, and what policies could accelerate decarbonization. See below for more on the key policy drivers we identified, and why we believe climate change should be a core part of the region’s economic growth strategy.
Climate change will have material impacts for corporations, particularly in Asia where physical and transition risks are significant. Accordingly, Asian companies have acknowledged the importance of sustainability and are now making commitments to reach net-zero carbon emissions within set timeframes.
But how are these commitments affecting their business strategies and changing their operations? And which policies could support an acceleration of their climate action?
To answer these questions, the Asia Business Council surveyed its members ahead of the COP27 conference. For the first time in 2022, a separate section was added to the Council’s Annual Survey with climate-related questions.
The survey results highlight the main drivers of Council members’ climate action and the strategies they prioritize for reaching net zero carbon emissions. It also reveals the key challenges they see for decarbonization and, crucially, the government policies that would help accelerate their climate action.
A decade ago, Asia’s millennials were optimistic the region would set aside conflicts and become more united to meet global challenges such as climate change. Today’s Generation Z, who grew up amid rising geopolitical tensions and major economic disruptions, are no longer so hopeful.
Much like carbon emissions, companies will soon be expected to monitor their impact on biodiversity. Measures to promote and preserve biodiversity will need to go beyond greenwashing practices like pledges to plant trees.
As Asian economies face recession worries, many are putting climate action on the back burner – but climate resilience goes hand in hand with economic stability.
This year’s survey indicated an uncertain outlook for Asian businesses. Economies across the region are enjoying a return to business as usual and recovering from the effects of the COVID-19 pandemic. Yet the invasion of Ukraine has set off a chain of events that roiled global markets and left the world with no clear path …
Asia’s economic growth and development have been unparalleled over the past 75 years. Poverty has declined continuously and more rapidly than at any time in recorded history, and significant welfare gains have been achieved. These achievements have been driven by Asia’s growing participation in international trade and global value chains, which underpin the globalization process. More broadly, globalization refers to the integration of economies that has been achieved through growing levels of international trade, finance, and investment, and through the mounting exchanges of people, ideas, and data.
The latest Asia Business Council survey shows firms are worried about geopolitics. Energy is the top concern amid high prices and conflict.
Women are indispensable to Hong Kong’s future growth; closing the wage gap, while providing more support at home, can pave their re-entry to the workforce.
