‘New ESM’ for climate could help euro bond market, Axa argues
Green finance specialists gave a cautious welcome this week to an idea put forward by Axa that the European Union should set up a new organ, modelled on the European Stability Mechanism, to borrow about €500bn for investments to fight climate change. Jon Hay and Burhan Khadbai report.
The proposal was made on Tuesday by Gilles Moëc, Axa’s chief economist, in a white paper published on the French insurer’s website.
A new European Climate Emergency Fund could have governance and a financial structure that echoed the ESM, he argued.“Because the ESM exists and is ...