Assessing Climate Risks

Climate change and its impacts pose a series of risks to all private sector companies, including IFC clients, yet a question still remains - how to approach and mitigate those risks?

This is a question the private sector has largely not addressed yet, lacking baseline information, methodology and tools for strategic decisions. This poses significant challenges, in particular in developing countries where the impacts are expected to be the most significant. Methodologies for assessing some of these risks exist, but not with data and tools tailored to the needs of private sector investors and government decision makers.

To help its clients understand and respond to the risks of climate change, IFC is developing best practices in assessing private sector risk and adaptation strategies.

In 2008, IFC initiated the Climate Risk Program, a series of pilot studies that analyzes climate risks and adaptation options for projects taken from different sectors and regions. The studies’ focus are private sector projects but with a significant emphasis on the cooperation and synergies with the public sector, research institutions and the civil society. 

All the studies can be found in the Assessing Climate Risks section of our pages.