LONDON - Financial markets are underestimating the economic risks of biodiversity loss, potentially exposing countries to sovereign debt crises and sharply higher borrowing costs, according to research published on Friday.The study, led by economists from the Universities of Sussex, Sheffield and Heriot-Watt, presented what they described as the world’s first biodiversity-adjusted sovereign credit ratings model.It said existing ratings frameworks fail to incorporate environmental degradation, leaving some $83 trillion of global assets vulnerable to mispricing.
Study warns biodiversity loss could trigger wave of debt crises
LONDON - Financial markets are underestimating the economic risks of biodiversity loss, potentially exposing countries to sovereign debt crises and sharply higher borrowing costs, according to research published on Friday.The study, led by economists from the Universities of Sussex, Sheffield and H
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