Building Resilience During Change

ESG out, resilience in? 🌎 Interesting article published a couple of days ago in the Wall Street Journal on the evolving language of sustainability investing. The term "resilience" is emerging as the latest way to frame investments in climate adaptation and risk mitigation, replacing or complementing ESG. This shift reflects growing recognition that climate-related risks—extreme weather, supply chain disruptions, and infrastructure damage—are financial risks that businesses cannot ignore. As political and regulatory pressures mount, particularly in the U.S., many asset managers and companies are reframing their sustainability strategies. The focus is moving from broad ESG commitments to more specific, risk-based approaches that emphasize resilience and adaptation finance. This allows organizations to continue investing in climate solutions while avoiding the backlash that ESG has faced in some markets. Major players like Standard Chartered, BNP Paribas, and DP World are integrating resilience into their strategies, with investments in renewable energy, infrastructure upgrades, and supply chain adjustments. Their approach highlights how businesses are shifting from seeing sustainability as an optional add-on to treating it as a core component of long-term financial stability. The financial imperative is clear. Extreme weather events have already caused trillions in economic losses, and investors—particularly long-term institutional ones—are taking notice. Investments in climate adaptation and resilience aren’t just about managing risk; they’re about future-proofing businesses against an increasingly volatile operating environment. This shift in language and focus is an important signal for how sustainability strategies will continue to evolve. Framing climate action as resilience underscores its relevance to business continuity, risk management, and long-term competitiveness. Regardless of terminology, one thing is clear: the financial sector recognizes that ignoring climate risk is no longer an option. #sustainability #sustainable #business #esg #climatechange #resilience

🔥 Climate risks are no longer abstract—they’re disrupting businesses, communities, and economies right now. The World Economic Forum’s 2024 report, "The Cost of Inaction: A CEO Guide to Navigating Climate Risk", delivers a sobering message: ignoring climate risks isn’t just irresponsible—it’s economically devastating. 🌡️ Key insights from the report: 💥 Climate-related disasters have caused $3.6 trillion in damages since 2000, exposing critical vulnerabilities in supply chains and infrastructure. 📉 Physical risks could put 5-25% of EBITDA at risk for some sectors by 2050 under a 3°C warming trajectory. 💸 Transition risks, like carbon pricing and changing regulations, could impact 50% of EBITDA in energy-intensive industries by 2030. 🌱 Every $1 invested in climate adaptation yields $2-$19 in avoided costs, while green markets are projected to grow from $5 trillion in 2024 to $14 trillion by 2030. 💡 My reflections: 🔄 Resilience isn’t enough anymore. Too often, we focus on simply "weathering the storm" of climate risk. But true leadership is about rebuilding something better—rethinking markets, redesigning business models, and creating solutions that lead entire industries forward. 🌍 Supply chain fragility is the Achilles’ heel of the global economy. A single extreme weather event can cascade across operations, grinding everything to a halt. Climate-resilient supply chains can’t just be about survival—they must be radically adaptive, decentralized, and built to thrive under disruption. 📊 Climate risk is fundamentally redefining the concept of value. Businesses stuck chasing quarterly earnings are missing the bigger picture. In a world of rising costs and irreversible climate impacts, long-term value will belong to those who embed sustainability, resilience, and equity into their strategies. The time for cautious, incremental steps has passed. How are we using this moment to transform the way we work, innovate, and lead? #ClimateAction #Sustainability #Resilience #Leadership #Innovation

We’ve built our futures around end-states: 1.5 °C, 2 °C, 3–4 °C worlds. Useful—until you realise they all smuggle in one hidden assumption: continuity. That our political, economic, and civic systems will hold together long enough to deliver whichever pathway we choose. That assumption has broken. The defining condition of this century is not the destination, but the volatility of the path. Overlapping shocks, chronic drifts, accelerating fragilities. Fragilities that, in a resource-constrained world, are no longer incidental—they are weaponisable assets in zero-sum competition. This dissolves the very idea of “event resilience.” The task is no longer to recover from one crisis at a time, but to build systemic resilience in volatility: the capacity to cohere when shocks compound, when probabilities—not certainties—are the terrain of governance. This reframes the role of state, municipalities, local authorities: from funding one-off recovery to building continuous buffers, portfolios, and legitimacy infrastructures that can hold coherence through turbulence. The measure of success is not control, but coherence. Fuller argumentation… https://lnkd.in/eZqkp5Vp Thoughts welcome

In light of the recent "Red Alert" declared by the U.N.'s World Meteorological Organization (WMO) after 2023 broke every major global climate record, it's crucial to revisit and expand on our discussions surrounding the impact of climate change on global food security and agricultural practices. Climate Crisis Deepens: Beyond Record-Breaking Temperatures to Food Security The WMO's report highlights the highest ocean temperatures recorded in 174 years, coupled with the significant loss of Antarctic sea ice—an area roughly the size of Egypt. This dire situation underscores the urgency of addressing the intertwined challenges of climate change and food security. As previously explored in "Planet Hotness: Halloween Peaks Record Temp Year," we're witnessing the tangible consequences of these climatic shifts on global agriculture and trade. The U.S. agriculture sector is already facing the effects, with regions suffering from extreme heat and drought, particularly affecting wheat, almonds, and corn production. Internationally, the situation is no less grim. Brazil's agricultural GDP took a hit from drought conditions, significantly impacting soy and corn production, as well as causing a notable decline in coffee yields. From Canada to China, droughts and extreme weather conditions disrupt agricultural outputs, leading to widespread water scarcity and the emergence of "thirst refugees." The Path to Resilience: Adapting Agriculture for a Warmer World A multifaceted approach is essential to mitigate these challenges and ensure a stable, sustainable global food system. Diversifying crops, adopting water conservation techniques, and embracing precision agriculture are key steps toward resilience. Innovations like CRISPR gene editing and genomics in crop breeding and practices that enhance soil health and diversify crop rotations can bolster our defenses against climate volatility. A Global Call to Action: Strengthening Food Security Amidst Climate Crisis The WMO's "Red Alert" is a stark reminder of the urgent need for international collaboration to develop climate-resilient agricultural practices and strengthen supply chain strategies. As stakeholders across the spectrum—from governments and the private sector to local communities and individual consumers—we must champion sustainable practices, encourage innovation, and support policies that foster resilience and sustainability. The "Red Alert" signifies a climatic tipping point and a critical juncture for global action. The time for coordinated efforts and transformative changes is now. Together, we can forge a path towards a more resilient and sustainable future, ensuring that the cornerstone of civilization—global food security—is preserved for future generations. https://lnkd.in/dgD_jdVF #ClimateAction #SustainableAgriculture #FoodSecurity #UNWMO #ClimateCrisis #Resilience #Innovation

Inspired by Emma Howard Boyd CBE's post from earlier today, I was reflecting on London's predicament. London stands at a crossroads in how it manages water resources & strengthens its resilience to climate change. W/ rising populations, aging infrastructure, & increasingly extreme weather patterns, the city’s ability to secure its water future & protect against floods is under huge pressure At the heart of the challenge are 2 interconnected risks: water scarcity & flooding. By the 40s, daily water deficits of up to 400m litres could threaten supply, while rising groundwater, heavy rainfall, & overwhelmed infrastructure pose flooding risks for homes, businesses, & transport networks. Climate extremes are no longer hypothetical & our systems need urgent upgrades to adapt. To future-proof London, a multi-faceted approach is essential: 🔹 Demand mgmt: reducing water consumption through efficiency measures in homes and businesses is the most immediate and cost-effective step. Education, incentives, & smart technologies can cut waste & manage supply 🔹 Nature-based solutions: urban wetlands, sustainable drainage systems (SuDS), & green infrastructure are vital. These approaches allow nature to help manage water—absorbing excess during storms, replenishing groundwater, & cooling urban areas—while enhancing biodiversity & public spaces 🔹 Infrastructure innovation: London’s Victorian-era water systems are under enormous strain. Significant investment is needed to upgrade pipelines, reservoirs, and treatment facilities to meet modern demands & withstand climate stresses. Partnerships between public & private sectors are critical to fund this long-term transformation 🔹 Climate risk integration: ensuring that every major infrastructure project incorporates climate resilience is vital. Resilience should not be an afterthought but a foundation for planning & development We need collaboration too. Water utilities, government agencies, businesses, and communities must work together to implement solutions that balance supply, demand, and risk. This means aligning incentives, investing in innovation, & embracing a holistic view of water management that protects both people & ecosystems. London has a unique opportunity to lead the way as a global city facing climate pressures. By combining smart tech, policy innovation, and nature-based solutions, it can build a water-secure future that safeguards lives, livelihoods, & the environment. Several urban areas across the UK face the dual challenges of both water scarcity & flooding, similar to London. Carbon Brief's work suggests examples include: 1. Cardiff 2. Leeds 3. Exeter 4. Newport These urban areas exemplify the broader national challenge of managing both flood risks & potential water shortages. Addressing these issues requires integrated water management strategies, investment in resilient infrastructure, & climate adaptation measures to safeguard communities & ensure sustainable water resources.

I was featured in Middle East Insurance Review, highlighting the importance of insurer diversification amidst tightening reinsurance markets due to rising Nat CAT events globally. Emphasized strategies include regional partnerships, exploring alternative risk transfer solutions like CAT bonds, and proactively adapting to stricter underwriting and regulatory standards. Focused on building resilience and fostering innovation for a robust and sustainable insurance future. #Insurance #Reinsurance #Innovation #RiskManagement #MiddleEast

When budgets shrink, women pay the price—in time, income, and safety. A survey by ActionAid across six African countries found that austerity measures have pushed women to take on an additional 28 hours of unpaid care work each week. That’s nearly a full extra work week—without pay, without recognition, and without support. This means they have less time for paid work, spend more of their lives in poverty, and are forced to rely on their partners—heightening their vulnerability and risk of violence. This is a clear call to action: economic policies must prioritize care, not cut it. Let’s ensure that gender-responsive budgeting and investment in care infrastructure are central to recovery and development. Read more here: https://lnkd.in/d9B-HhjK #CareEconomy #GenderResponsiveBudgeting #WEEPolicy #WomensRights #UnpaidCareWork #ICRWAfrica #SocialJustice #EconomicJustice #AfricaWomen #FeministEconomics

Climate Change Fuels Record-Breaking Natural Disaster Losses and the costs are skyrocketing. According to the Financial Times: In 2024 alone, insurance losses from hurricanes, floods, and other extreme weather events are projected to exceed $135 billion. The US and Europe were particularly hard-hit, with devastating hurricanes and floods causing billions of dollars in damages. Even the Gulf region wasn't spared, with intense rainfall disrupting operations at Dubai International Airport. As temperatures rise, storms intensify, and rainfall patterns become more erratic. Reinsurers like Swiss Re and Munich Re are urging immediate action to invest in climate mitigation and adaptation measures. As these events become more frequent and severe, insurers face significant challenges: ✅Rising claims costs: Increased frequency and severity of claims. ✅Model uncertainty: Difficulty in accurately predicting future risks. ✅Investor concerns: Potential impact on financial stability and long-term viability. To mitigate these risks, insurers must adapt their strategies: ✅Climate-risk modeling: Incorporating climate change scenarios into risk assessments. ✅ Pricing adjustments: Adjusting premiums to reflect increased risks. ✅Reinsurance strategies: Securing adequate reinsurance coverage. ✅ Innovation and partnerships: Exploring innovative solutions and collaborating with other stakeholders. #ClimateChange #Insurance #RiskManagement #ClimateFinance #Sustainability #NaturalDisasters #ClimateAction #GulfRegion

There've been loads of stories published since the USAID 'stop-work' order was announced. At The Fuller Project we asked ourselves: "what can we add to how people understand what's happening?" We noticed that few stories started with data to reveal the state of global dependency on US foreign assistance and that the specific impact this will have on women and girls around the world was also underreported, so that's what we did. Working with Claire Provost, the Fuller team (Allan Olingo, Louise Donovan and Erica Hensley) dug into OECD - and then IATI - data. With the former, we were looking for donor-country funding, focused on four key sectors that disproportionately affect women: reproductive health, family planning, ending violence against women and girls and supporting women’s rights organizations, movements and institutions. With the latter we wanted to identify specific programs in specific countries so we could report what we saw on the ground. First on the global picture: As has been widely reported, the US provided nearly a quarter of all global aid -- but the percentages are much higher in two key sectors primarily affecting women: reproductive healthcare and family planning. The U.S. contributed more than half – 54% – of the foreign assistance provided by all countries for family planning and 45% of the total for reproductive healthcare in 2023, the last year for which figures are available. 19 African countries received more than half of their family-planning aid from the U.S. This means, while not uniquely so, women and girls around the world - and specifically in Africa - will be particularly hard hit by the aid freeze. Many experts are warning about large numbers of people dying. Loss of life is bad but, as Neil Datta told Jodi Enda, and Dr . Stellah Wairimu Bosire told Allan, these drastic cuts (not just by the Americans but also by the Europeans who are moving money from international development into defense) will lead to a 30-year rollback in access to health. “Funding cuts don’t just disrupt reproductive health; they unravel entire healthcare systems,” Bosire said. “These policy shifts widen funding gaps, putting millions at risk of losing access to essential healthcare services and jeopardizing vital work that has taken years to build." Read both stories here: https://lnkd.in/d7c3N5pr https://lnkd.in/dizzUiUj

Property insurance rates are about to rise sharply, and the shift is happening faster than many realize. Reinsurers, who back up primary insurers by sharing their risk, are adjusting their pricing models as climate risks grow more severe. New disaster risk models—like a recent update from RMS—are signaling increased losses for high-risk areas, particularly along the Gulf Coast, Florida, and Texas. These models anticipate more catastrophic events, and reinsurers are responding by raising their rates and tightening contract terms. This will have immediate effects. As reinsurers demand more from primary insurers, those companies will either pass along the costs to homeowners or pull out of markets entirely. We’re already seeing this in states like Florida and California, where premiums have surged by more than 40% in some areas. It’s a domino effect. Reinsurers need to protect their capital, insurers need to manage their risk, and homeowners are left with fewer and more expensive insurance options. In some cases, they’ll choose to go without insurance altogether—betting that federal disaster aid will cover them in the event of a catastrophe. This isn’t sustainable. As urban development continues in high-risk areas, the risks will only multiply. Insurance, which has historically helped homeowners bridge the gap between crisis and recovery, is becoming prohibitively expensive. We’re heading into a new phase where risk assessments are reshaping the entire market for coastal real estate. The question isn’t whether the insurance market will adapt—it’s how fast, and at what cost to those living in vulnerable areas.