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.
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. Setting ambitious energy and sustainability targets supports green growth.
Finance can be unleashed as a force for good, to deliver social impact and bring economic windfalls for ordinary citizens, from youth advancement, financial literacy, and promotion of the arts and technology to climate change efforts.
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 politics increasingly encroaching on business and driving potential decoupling. Energy is the top concern amid high prices and the continuing fallout from Russia’s invasion of Ukraine.
Increasing supply chain resilience in Asia can help blunt the worst effects of climate change, improve biodiversity and closed loop thinking, and even help eradicate the scourge of modern slavery.
After its mishandling of Omicron, Hong Kong needs a program of damage control to regain investor confidence and bring stability back to residents’ lives. That means building economic resilience, strengthening networks for trade and talent, and putting substance behind claims of being a world city.
The interconnectedness that global cities once prized risks being eroded and dismantled as Covid-19 lingers and new variants emerge. Success will depend on cities’ ability to balance openness with health protection, growth with better livelihoods, and diversity with local character that fosters a sense of belonging.
Technology has changed the game, making it easier to acquire and improve language and communication skills. An international business hub like Hong Kong, where languages are critical for deal-making, must leverage technology to promote learning.
