1 minutes to read by  BlueBay Fixed Income team Dec 29, 2023

Almost a year ago, we wrote about emerging markets (“EM”) being the key piece in the climate puzzle. By this we meant that whilst developed markets have historically been the main contributor to climate change, EM markets will account for most of the increase in greenhouse gas (“GHG”) emissions going forward. As such, the success or failure of EM will have a significant impact on the ability of the world to reach net-zero emissions by 2050, and therefore avoid the worst effects of climate change.

Summary Points:

• While developed markets have been the greatest contributor to greenhouse gasses, most of the increase in the future will come from emerging markets.

• Climate solutions for emerging markets can not come fast enough.

• EM countries are pushing ahead with their green agendas and scaling up their ambitions.

• Challenges remain and the stakes are high, but the opportunities are compelling.

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