Our planet is on fire – the environmental protection and the sustainable usage of our global resources are one of the most urgent topics humanity has to solve. Unfortunately, most countries still don’t act with the necessary seriousness and decisiveness. As humans, we always see problems with others – never with us.
Nations need fair incentives to change their behavior – and I believe one of such an incentive would be an unbiased sustainable credit rating as an economical benchmark which is able to measure and track the development of each country equally.
But why would sustainable country credit ratings be so important and relevant to accelerate a carbon free society? I think because their influence on the financial situation of a country could be massive, especially for low-income countries. Up to now there is no unbiased credit rating agency which is recognized as a real independent source for fair credit ratings – especially not by the two superpowers USA and China, responsible for about 40% of the global CO2 emissionsSee https://ourworldindata.org/co2/country/united-states?country=USA~CHN.
Though this topic is controversial within the Wikirating Experts Board, I believe it is nonetheless important to stimulate the development of ‘sustainable country ratings’.
Currently I am working on a simplistic model of implementing ‚sustainability criteria‘ for sovereign credit ratings – stay tuned!
What do you think? Let me know your thoughts/critics below in the comment section.