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Investing in Climate, Investing in Growth

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This report provides an assessment of how governments can generate inclusive economic growth in the short term, while making progress towards climate goals to secure sustainable long-term growth. It describes the development pathways required to meet the Paris Agreement objectives and underlines the value of well-aligned policy packages in mobilising investment and social support for the transition while enhancing growth. The report also sets out the structural, financial and political changes needed to enable the transition.

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Infrastructure for climate and growth

Infrastructure investment is vital to underpin economic growth and development, but current levels of investment are inadequate. Meeting the Paris Agreement’s mitigation and adaptation objectives will also require a radical shift in the world’s infrastructure base. This chapter considers the current gap in infrastructure investment, the infrastructure and technology transformations needed to shift onto low-emission, climate-resilient pathways, and the incremental capital costs involved. It then looks at the energy sector as an indicative assessment of progress in aligning infrastructure investment plans for the transition, before exploring how governments might better align short-term investment strategies with long-term decarbonisation and resilience goals.

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