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Business turbulence in extreme weather events

Posted By IRMSAInsight, 08 December 2014

Global warming has been a hot topic over the last few years. Are we getting to a point where the implications can no longer be ignored in the business arena? The scientific research group Royal Society, challenges financial institutions and investment organizations to acknowledge the potential impact of extreme weather events and to gain an understanding of their potential investment partners ability to remain resilient against it.  Their survey suggest that investment decisions are predominantly based on the availability of skilled labour, access to export markets, political and economic stability and financial incentives but little or no consideration is given to disaster risks.

What is your view? Should a business’s “resilient factor” against extreme weather events matter to investors and is it an emerging risk in South Africa?

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For more information please refer to the royal society’s latest report “Resilience to extreme weather”.

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