Reports
Published: 11 December 2024

The Cost of Inaction: A CEO Guide to Navigating Climate Risk

Climate risks are no longer a distant threat; they are unfolding now, disrupting industries worldwide. Climate-related disasters have inflicted over $3.6 trillion in damage since 2000, with risks accelerating. For businesses, physical risks like extreme weather events and transition risks such as rising carbon pricing are already transforming markets and reshaping business models.

Climate risks are no longer a distant threat; they are unfolding now, disrupting industries worldwide. Climate-related disasters have inflicted over $3.6 trillion in damage since 2000, with risks accelerating. For businesses, physical risks like extreme weather events and transition risks such as rising carbon pricing are already transforming markets and reshaping business models.

This report analyzes growing corporate climate risks while highlighting opportunities for businesses to lead. Developed by the World Economic Forum’s Alliance of CEO Climate Leaders in collaboration with Boston Consulting Group (BCG), the report examines how these risks threaten corporate profits, while highlighting the financial and strategic case for action. It showcases insights from CEOs and senior leaders, revealing how addressing risks can unlock growth in the $14 trillion green economy.

The report also includes a practical guidebook for CEOs, equipping leaders with tools to navigate risks, and seize opportunities in a rapidly transforming world.

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