The recent UNEP report highlights the urgent need to tackle environmental issues like climate change, biodiversity loss, pollution, and land degradation. Investing in these areas could boost global economies by trillions and alleviate hunger and poverty. UNEP states that while there are initial costs, the price of doing nothing is far greater.
The report, based on insights from 287 scientists, presents a thorough analysis of the current state of the environment. If we continue on the current path, resource extraction could rise by 70% from 2020 to 2050. This trajectory is expected to push global temperatures above 1.5°C by the early 2030s.
Economically, if we ignore these warnings, climate change could slice 4% off global GDP by 2050 and up to 20% by 2100. However, this doesn’t take into account health impacts or biodiversity loss, so the real economic damage may be even more severe.
Sir Robert Watson, a former leader at the Intergovernmental Panel on Climate Change, warns that the climate is changing faster than many models predicted. “In the last decade, we’ve seen a rapid increase in temperature,” he noted. He emphasized that these environmental challenges are, at their core, economic issues.
An estimated annual investment of about $8 trillion until 2050 is necessary for achieving net-zero emissions and restoring biodiversity. In contrast, the loss of ecosystem services could reach an alarming $44 trillion each year.
Experts are now saying we need to look beyond GDP as a metric for success. Professor Edgar E. Gutiérrez-Espeleta pointed out that GDP can misrepresent harmful activities, like deforestation, as economic growth. “We need to consider other dimensions,” he said.
In May 2025, U.N. Secretary-General António Guterres aimed to change this perspective by bringing together global experts to rethink economic metrics. Gutiérrez-Espeleta contributed to the development of the Multidimensional Vulnerability Index, which helps measure risks related to nature and disasters.
To reshape the economy, over $1.5 trillion in harmful subsidies, including fossil fuel support, need to be redirected. “The science is clear, and solutions are available. We need courage to act swiftly,” Gutiérrez-Espeleta stated.
In today’s world, these environmental issues impact everyone’s economic future. Taking action is not just necessary; it’s urgent. For further details, visit UNEP’s seventh Global Environment Outlook and explore the Multidimensional Vulnerability Index for deeper insights.
