The 2021 Climate Summit and Brazilian opportunities
The 2021 Climate Summit, which took place between the 22nd and 23rd of April, had great international repercussion for its speeches, decisions and the great possibilities generated, mainly for Brazil, through an objective that addressed the expansion of goals established in the Paris Agreement.
At first, it is noteworthy that several targets signed in the agreement signed in 2015 were not met, either by the countries of the North or the Global South. However, new hopes for alleviating these climate problems were presented, such as the US committing to reduce the emission of greenhouse gases by 50 to 52% by 2030, while China aims to reduce it by the same year, in 60 to 65%.
The positive economic impacts of climate measures
Such perspectives and projections are highly relevant for the international market, as they directly impact the economy of countries, as mentioned by the Managing Director of the International Monetary Fund, Kristalina Georgieva. For her, combating climate change is a central factor for economic and macroeconomic balance, representing great opportunities for new international investments, together with greater job creation, in addition to emphasizing that green infrastructure can raise global GDP by 0.7 % in the next 15 years.
Perspectives for Brazil
In view of these possible gains, one of the biggest beneficiaries of this Climate Summit may be Brazil, even though it is a long-term investment. Owner of one of the largest forests in the world and a rich fauna and flora, its environmental preservation actions attract attention from all over the world and currently from one of its major trading partners, China. Although, for now, the environmental relations between the two States are not strong, they tend to develop and become beneficial to Brazil in the coming years. This is because, joining a green diplomacy will affirm greater environmental partnerships with countries that already have solid relations. While along with this sustainable development with China, it could attract several foreign investments that would help it recover from its current economic recession.
As a result, we will be able to see Brazil gaining greater projection and international relevance, together with a closer relationship with trading partners and a gain in foreign investment of more than half a trillion dollars by 2030, since issues related to the environment only grow within of the Financial Market, as highlighted by the chief economist of Banco Modalmais,Á lvaro Bandeira. It is important to highlight the need for practical actions in Brazil to achieve such partnerships and numbers, as these increases only materialized with signs of improvements in environmental protection.
The importance of assistance from an international consultancy
Thus, it is understood that Brazil has much to gain from the environmental issue, being able to improve and stabilize the internal situation, while expanding the possibility of economic partnerships in the future. Thus, in order to invest in these partners, an international consultancy can guide investors on how and where to make their products perform better in the foreign market, with an Identification or Market Analysis, helping them to expand their borders.
By Enzo Toledo on 04/28/2021