A survey by British International Investment (BII) has revealed extent of the impact being felt in countries most vulnerable to the climate emergency, with four out of every five businesses already suffering the consequences of a rapidly changing environment.

The third annual Emerging Economies Climate Report – a survey of BII’s investee businesses in Africa, Asia and the Caribbean relates that 79 per cent of companies surveyed said that climate change was already impacting their business, up from 68 per cent in 2022.

It also found that 72 per cent of corporates surveyed had experienced an extreme weather event in the last five years with droughts, floods and heat cited as the greatest cause for concern.

Survey responses varied across sectors and business types; financial services or fund managers cited fewer climate impacts, while corporates, particularly agricultural businesses are facing more significant impacts.

Despite many respondents highlighting that acting on climate can be cost-saving and add long-term business value, they also noted they did not have the knowledge and resources to respond to climate risks and opportunities. Respondents to the survey said they would benefit from more technical training on how to respond to the climate emergency as well as targeted investment and policy and regulatory action.

Nick Robins, professor in practice - sustainable finance at the Grantham Institute, added: "This report shows the overwhelming demand among firms in emerging economies for targeted investment to enable them to respond to the climate crisis. For business and investors in the Global South, there is now a strategic imperative to scale up capital flows in ways that bring a just transition for workers and communities, shaping the transition so it boosts quality jobs and gender equality.”

---