Events

If you are interested in sustainable finance and / or climate justice, this is for you! Join us for a thought provoking presentation on the impact of climate change on sovereign ratings and debt, especially for emerging and developing economies (EMDEs) where the need for climate adaptation and mitigation infrastructure is particularly acute.

More than USD 1 trillion in EMDEs clean energy investment is required for the world to be on track for net-zero emissions by 2050. The cost of capital for EMDEs for renewable power projects is double that in advanced economies. Factors driving the cost of capital are namely (1) political and currency risk, (2) regulatory uncertainty, and (3) project bankability. A key metric that affects cost of capital is sovereign credit risk rating which measures the debt default risk of the borrowing country.