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The Business Case for Women’s Climate Leadership

Elevating more women to the top ranks of companies is not just about equality; it is about performance. Women’s leadership and entrepreneurship plays a critical role in driving economic growth and creating jobs with positive social, environmental, and climate spillovers.

LUXEMBOURG – How can we meet the world’s climate goals? We can start by putting more women in charge. That will give us a much better chance of not only controlling global warming but also achieving greater prosperity along the way.

Emerging research underscores the business and development case for applying a gender lens to climate-related investments. It also highlights the critical role women play in climate leadership. A recent report from the European Investment Fund shows that women-led firms have higher environmental, social, and governance (ESG) scores than other companies, and that businesses with greater representation of women in leadership positions have better track records of adopting environmentally friendly practices.

Similarly, women leaders are more likely to invest in renewable energy, leading to reduced greenhouse-gas (GHG) emissions and improved environmental outcomes, and women-owned businesses are more likely to pursue greater energy efficiency and practices such as recycling. Banks run by women lend less to big polluters.

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