Guest editorial: Investing in a climate-resilient world: the role of finance in the climate solution

Abstract

In the face of escalating climate risks, investing in a climate-resilient world has become a necessity rather than an option. Climate change is not a distant concern − it is a present reality that has profound implications for our environment, economies and societies (Boubaker and Nguyen, 2012, 2014; Boubaker et al., 2018a, 2018b; Ma et al., 2022; Ilhan et al., 2023; Boubaker et al., 2025; Du et al., 2025). The financial sector plays a crucial role in addressing these challenges by funding innovative green technologies, supporting climate adaptation measures and incentivizing businesses to embrace sustainable practices. Finance has the unique ability to allocate capital toward projects that yield not only financial returns but also substantial environmental and social benefits. Thus, the role of finance extends beyond profit-making; it is integral to shaping a sustainable future and ensuring the well-being of future generations.