Carbon finance: a powerful tool in the fight against climate change
Greenhouse gases or GHGs act as a "natural protective shield" that keeps the Earth warm enough to live on. However, the increased concentration of these gases in the atmosphere (+51% of GHG emissions between 1990 and 2020 at the global level) is leading to an excessive climate warming. Since 2005 and the entry into force of the Kyoto Protocol, mechanisms have been developed to encourage governments to reduce their carbon emissions. In order to do this, GHGs are gradually being transformed into tradable goods that can be exchanged on markets, just like any other currency, thus giving rise to a new branch of modern finance: carbon finance.
