“But the pressures are being felt in the United States, too. In a report to its clients in November, Moody’s Investors Service explained how it incorporates climate change into its credit ratings for state and local bonds. The takeaway: if cities and states don’t deal with risks from surging seas or intense storms, the cost of borrowing will rise.
“Suffice to say, this could be a game-changer, in terms of putting climate risk and other environmental and social indicators on a par with traditional financial metrics and risk calculations. . . .
“All of this is happening outside the regulatory and policy arena as companies recognize that addressing the international community’s collective climate and sustainable development goals is becoming table stakes for any company seeking to be seen as a leader over the next decade or two.”