Why CBK’s climate risk management rules will pay off for Kenya’s banking

We have a problem. The recently released State of the Climate in Africa 2020 report, indicates that in 2020, the climate indicators in Africa, were characterised by extreme weather events such as floods and droughts, increasing temperatures and accelerated rise in sea-levels.

The associated impact was devastating. The report also notes that by 2030, up to 118 million extremely poor people will be exposed to drought, floods and extreme heat in Africa, if response measures are inadequate. Additionally, climate change could further lower gross domestic product (GDP) in Sub-Saharan Africa by up to 3 percent by 2050. And Africa is not alone.