An ECB board member highlights economic damage from climate change, projecting significant GDP losses without mitigation efforts.
European Central Bank Executive Board member Philip R. Lane stated that global GDP per capita could be over 20% higher today if no warming had occurred. The remarks were made during a keynote speech at a climate and monetary policy conference in Frankfurt on May 5, 2026.
Lane cited data showing 2023-2025 as the hottest years on record, with accelerated warming and increased extreme weather events. Current policies put the world on track for 2.8°C warming by 2100, while full Paris Agreement commitments could limit it to 2.3-2.5°C.
The ECB official emphasized the economic risks posed by climate change, including disruptions to supply chains, agricultural productivity, and insurance markets. No immediate market reaction was specified in the speech.