Climate Risk
Climate risk refers to the potential negative impacts on people, the economy, and the environment due to climate change. This includes physical risks like extreme weather events (floods, hurricanes, heatwaves) and slower changes (rising sea levels, changing rainfall patterns). Additionally, there's transitional risk, which involves financial and regulatory changes as societies move towards sustainability. Understanding climate risk helps governments, businesses, and communities prepare for and adapt to these challenges, ensuring better resilience and long-term sustainability.
Additional Insights
-
Climate risk refers to the potential negative impacts of climate change on natural systems, human health, economies, and infrastructure. It encompasses two main types: physical risks, which include extreme weather events, rising sea levels, and changing temperatures; and transitional risks, which arise from the shift to a low-carbon economy, such as regulatory changes and shifts in market preferences. Understanding climate risk helps individuals, businesses, and governments prepare for and mitigate the adverse effects of climate change, ensuring resilience and sustainability in a changing environment.