Environmental sustainability, business and banking: making the case for sensible regulation

Environmental sustainability and the fight against climate change are key challenges of the current century. Both are deemed to be needed in order for life to continue on the Earth. Yet, they request a radical revision of the way businesses do business. For a paradigm change of this sort to take place, a huge amount of financial resources will be needed. While public money has been and will be mobilised, the big chunk of capital needs to be provided through private investments. Moreover, as climate and environmental issues are global in nature, only internationally coordinated actions can be successful. While the legal framework in force in several jurisdictions looks utterly inadequate to support the transition to climate neutrality and environmental sustainability, the European Union regime might act as a point of reference.