Resilience and risk

Emissions growth continues, threatening the Least Developed Countries the most

03/03/202320/06/2025 sonia

SDG indicators

Goal 1: End poverty in all its form everywhere
Target 1.5: By 2030, build the resilience of the poor and those in vulnerable situations and reduce their exposure and vulnerability to climate-related extreme events and other economic, social and environmental shocks and disasters.
Indicator 1.5.1: Number of deaths, missing persons and directly affected persons attributed to disasters per 100,000 population.
Indicator 1.5.2: Direct economic loss attributed to disasters in relation to global gross domestic product (GDP).

Goal 9: Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation.
Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes, with all countries taking action in accordance with their respective capabilities.
Indicator 9.4.1: CO₂ emission per unit of value added.

Goal 12: Responsible consumption and production
Target 12.6: Encourage companies, especially large and transnational companies, to adopt sustainable practices and to integrate sustainability information into their reporting cycle
Indicator 12.6.1: Number of companies publishing sustainability reports.

Table of contents

Asia remains most emissions-intense region, but has improved the most over time

Despite increasing carbon dioxideCarbon dioxide (CO₂) is a colourless, odourless and non-poisonous gas formed by combustion of carbon and in the respiration of living organisms -—
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—-. emissions, progress has been made in all regions on reducing the carbon intensityCarbon intensity is the amount of emissions of carbon dioxide (CO₂) released per unit of another variable such as gross domestic product (GDP), output energy use or transport -—
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—-. of economies since 1990 (figure 1). However, 2023 saw a rise in emissions intensity in Developing Asia, Developing Africa and Developing Oceania. Developing Asia, while still the most carbon-intensive region, has achieved a significant 72 per cent reduction in CO₂Carbon dioxide (CO₂) is a colourless, odourless and non-poisonous gas formed by combustion of carbon and in the respiration of living organisms -—
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—-. intensity since 1990. Globally, carbon intensity decreased by 62 per cent from 1990 (936 gGrams/$) to 2023 (357 g/$), indicating that CO₂ emissions have grown more slowly than GDPGross domestic product (GDP) is an aggregate measure of production, income and expenditure of an economy. As a production measure, it represents the gross value added, i.e., the output net of intermediate consumption, achieved by all resident units engaged in production, plus any taxes less subsidies on products not included in the value of output. As an income measure, it represents the sum of primary incomes (gross wages and entrepreneurial income) distributed by resident producers, plus taxes less subsidies on production and imports. As an expenditure measure, it depicts the sum of expenditure on final consumption, gross capital formation (i.e., investment, changes in inventories, and acquisitions less disposals of valuables) and exports after deduction of imports -—
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Figure 1. Regional differences in carbon dioxide emission intensity are high

Carbon intensity (grams of CO₂ per US$ (GDP at current prices)) (SDG 9.4.1)

Source: UNCTAD calculations based on -—
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—- and EDGAR Emissions Database for Global Atmospheric Research -—
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—- for CO₂ emissions.

If all regions were able to reduce their carbon intensity of GDP to around 200 g/$, global annual emissions would reduce by nearly 45%.

If all regions were able to reduce their carbon intensity of GDP to around 200 g/$, global annual emissions would reduce by nearly 45%. The high carbon intensity in some developing regions highlights the need to support them in building sustainable infrastructure and adopt lower-carbon technologies to enhance energy efficiency and phase out polluting energy generation methods -—
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—-. The higher carbon intensity in developing regions is partly driven by other regions’ demand for carbon-intensive final products. Developed economies generally have higher demand-based emissions than production-based emissions, making them net importers of CO₂ emissions, while most developing economies are net exporters -—
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—-. As environmental policies vary by country, companies may relocate carbon intensive production processes globally, leading to "carbon leakage" -—
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—-. To prevent this, setting global environmental standards is crucial.

Disasters risk continues to expand, together with their impact on vulnerable populations

Greenhouse gas emissions from energy use and other sources have exposed the world to new and unprecedented levels of climate hazards, as warned by the latest Global Assessment Report on Disaster Risk Reduction -—
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—-. The greater the scale and intensity of these hazards, the more likely they are to escalate into disasters. Preparedness is essential to face these events and reduce their impact. Unsustainable development, marked by persistent inequalities, increases both exposure and vulnerability to disasters. Without adequate preparation, countries risk having their development pathways disrupted by disasters.

70% of the world’s disaster fatalities occur in .

By carrying out a forensic analysis on the characteristics of latest disasters, UNDRRUnited Nations Office for Disaster Risk Reduction has shown that we can learn from them to build more effective resilienceThe ability of a system, community or society exposed to hazards to resist, absorb, accommodate, adapt to, transform and recover from the effects of a hazard in a timely and efficient manner, including through the preservation and restoration of its essential basic structures and functions through risk management -—
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—-. strategies. Data are essential in this process. Data show that the number of recorded disasters has increased fivefold over the period 1970 to 2021 -—
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—- and that they will keep on expanding along with their impacts on human lives. From 2014 to 2023, an annual average of 2 028 people per 100 000 were directly affected by disasters, a 71% increase from 1 187 in 2005-2014-—
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—-. Despite contributing the least to climate change, low-income economies have the most exposed populations; 70% of the world’s disaster fatalities occur in LDCs. LDCs, LLDCsLandlocked developing country and SIDSSmall island developing states (SIDS) were recognized as a distinct group of developing countries at the Earth Summit in Rio de Janeiro in June 1992. More information on UNCTAD official page. also suffer the highest disaster impacts (figure 2). In LDCs, the number of disaster-related deaths and missing persons (per 100 000 population) was 2.5 times the global average and in LLDCs 3.1 times higher. As population growth continues, developing countries are projected to have even higher numbers of people affected.

Figure 2. Two to three times more deaths from disasters in LDCs and LLDCs than global average

Number of people per 100 000 population (annual average for 2014-2023), and economic losses as a percentage of GDP (annual average for 2015-2023) ( 1.5.1, SDG 1.5.2)

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As of March 2024, 129 economies reported adopting national disaster risk reduction strategies, more than twice the 57 economies that had done so in 2015. This corresponds to 60% of LDCs, 64% of LLDCs and 72% of SIDS. 108 countries have also reported having adopted local risk reduction strategies -—
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—-. Despite all these efforts, related economic losses remain stubbornly high. Direct economic losses have been reported to exceed US$ 131 billion per year worldwide during 2015-2022 -—
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—-. While this corresponds to 0.3% of global GDP, in LDCs and LLDCs the direct losses are over 1% of their GDP. Countries need to invest in multi-hazard early warning systems (in place in 113 countries globally as of October 2024) and capacity building further to reduce the human cost of disasters -—
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Everyday decisions in urban planning, infrastructure, poverty reduction and environmental management are key to determine the extent of damage provoked by hazard. These decisions concern also the private sector. Sustainable environmental and social practices need to be promoted and taken at all levels.

Adoption of the international standards facilitates significant progress in sustainability reporting across the world, including in developing countries

Over the past ten years, sustainability reportingSustainability report is a document published by an entity describing the economic, social, environmental impacts caused by its activities; it is composed of a certain number of disclosures along the main pillars of sustainable development -—
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—-. has become the default for both the world’s largest companies as well as the largest companies in each country or jurisdiction, with 96% of G250The top 250 companies by revenue listed in the 2023 Global Fortune 500 ranking (compiled by KPMG). companies and 79% of N100List of the largest companies in each of 58 countries, territories and jurisdictions: 5800 companies in total. Selected and compiled by KPMG. companies now reporting on sustainability -—
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—-. The shift from voluntary disclosure initiatives towards mandatory reporting requirements, and the emergence of international standards (including the IFRSInternational Financial Reporting Standards and various European standards -—
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—-), facilitated significant progress in sustainability reporting across the world, including in developing countries -—
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—-. In the period of 2016-2023, the number of companies publishing sustainability reports increased almost 4 times with an average annual growth rate of close to 20%. This growth was observed in all regions, while Asia, Europe and North America maintained the largest share of companies reporting on sustainability supported by the established regulations at the national or regional levels.

Figure 3. Company sustainability reporting continues to progress

Number of companys publishing sustainability reports (SDG 12.6.1)

Source: UNCTAD and UNEPUnited Nations Environment Programme calculations based on -—
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References

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