PARIS, France (AFP) — Investment funds managing close to US$4 trillion in assets called on Brazil yesterday to halt deforestation of the Amazon in an open letter warning that biodiversity loss and carbon emissions pose a “systemic risk” to their portfolios.
While lockdowns linked to the novel coronavirus pandemic are likely to see the world's carbon emissions fall several percentage points, increased deforestation in the Amazon could actually increase Brazil's annual contribution to global warming.
“The Amazon is one of [the] primary areas of rainforest which impacts the global climate and we joined the letter to call for urgent action from the Government to avoid taking actions that have a negative impact on climate change,” he told AFP.
Corey Klemmer, director of engagement at letter signatory Domini Impact Investment, said that his firm was “acutely concerned” about deforestation.
“As financial institutions, we see deforestation and the associated impacts on biodiversity and climate change as systemic risks to our portfolios,” they wrote.
