High inflation, rising interest rates, falling currencies and volatile energy prices, together with an economic slowdown and post-pandemic budget woes, may increase pressure on the Asean+3 -- the 10 members of the Association of Southeast Asian Nations, together with China, Japan and South Korea -- to scale back efforts to mitigate climate risk.
While this policy shift may make fiscal sense, it is a mistake that could have grave repercussions for the region and ultimately lead to slower economic growth and greater financial instability.
If not addressed, the risks climate change poses to Asean+3 countries could have far-reaching implications for the region's agricultural production, water availability, energy security, transport and infrastructure, tourism industries and coastal resources.
