(Ecofin Agency) - The world 200 largest firms by market capitalisation in the world could lose $1,000 billion to climate change in the coming five years. This is one the results of 2018 report on climate change published by CDP formerly known as the Carbon Disclosure Project.

For this report, the study was based on the 215 largest firms by market capitalisation in the world. The combined market capitalization of these firms was $17,000 and they plan $970 billion of additional expenses related to factors like temperature rise, bad weather and carbon tax.

The document indicates that many firms underestimate the risks of climate change despite alarming scientific reports. For Nicolette Bartlett, director of the CDP and author of the said report, most of the firms still have a long way to go to better assess climate change risks.

At the same time, adaptation to climate change presents opportunities estimated to be $2,100 billion for companies in the transport and mobility sectors.

Gwladys Johnson Akinocho