International Business: COP27: IMF chief says $75/ton carbon price needed by 2030 – Gulf Digital News

International Business: COP27: IMF chief says $75/ton carbon price needed by 2030 – Gulf Digital News

SHARM EL-SHEIKH, Egypt - The price of carbon needs to average at least $75 a ton globally by the end of the decade for global climate goals to succeed, the head of the International Monetary Fund told Reuters.

Speaking on the sidelines of the COP27 climate talks in the Egyptian coastal resort town of Sharm el-Sheikh, IMF Managing Director Kristalina Georgieva said the pace of change in the real economy was still "way too slow".

Recent analysis by the World Bank-affiliated group suggests the sum total of global national commitments on reducing climate-damaging emissions would see them fall just 11% by mid-century.

"Unless we price carbon predictably on a trajectory that gets us at least to $75 average price per tonne of carbon in 2030, we simply don't create the incentive for businesses and consumers to shift," she said.

While some regions such as the European Union already price carbon at above that level - the EU's benchmark price is around 76 euros a tonne - other regions such as the US state of California see carbon allowances selling for just under $30 per ton, while some have no price at all.

"The problem is that in many countries, not only in poor countries, across