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Fragile Planet - The Politics and Economics of the Low-Carbon Transition

  • Ashim Paun
  • Lucy Acton
  • Amit Shrivastava, James Pomeroy and Tarek Soliman (HSBC)
  • James Pomeroy
  • Tarek Soliman (HSBC)
HSBC Global Research 2019 - Fragile Planet

The 2015 Paris Agreement has focused global attention on the need for countries to address climate change risks. But not all countries are equal, in terms of either their ambition or ability to achieve economies which are low-carbon and aligned with greenhouse gas emission trajectories which scientists say are necessary to limit warming to 2ºC. The associated transition in national energy systems and broader economies to a low-carbon world will present risks, but also opportunities.

This report is the latest in HSBC’s Fragile Planet series, and it starts with a question: Which countries have the political economy – the policy, government and institutions, economic diversity and energy resources – to give them a competitive advantage as the world progresses with a low-carbon transition?

 

The political economy of the low-carbon transition – key factors
Key factors of the political economy of the low-carbon transition. Source: HSBC.
Key factors of the political economy of the low-carbon transition.

 

This question is answered through an analysis of 67 countries in the MSCI's developed, emerging and frontier market categories, covering 80% of the world’s population and 94% of GDP.

 

HSBC Climate-Seven Group of Countries + top 3 EM countries.
The seven countries listed by HSBC as being best-placed for the low-carbon transition, called the ‘HSBC Climate-Seven Group of Countries’ or ‘C-7’. This figure also includes the top three best-placed emerging markets in the low-carbon transition.
The seven countries listed by HSBC as being best-placed for the low-carbon transition, called the ‘HSBC Climate-Seven Group of Countries’ or ‘C-7’. This figure also includes the top three best-placed emerging markets in the low-carbon transition.

 

[The information and figures above were extracted from the report.]

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