The Earth has become hotter, and so have the discussions to limit global warming. In the concluding weeks of the hottest year on record, the global body responsible for mitigating the impact of climate change urged nations to shift away from fossil fuels.
While the result may not fully meet the aspirations of many nations pushing for a clear fossil fuel “phase-out” directive, it marks a historic development. For the first time, there was a pronouncement to shift away from oil and gas, the foundational fuels that have driven the global economy for decades and contributed heavily to the earth’s rapidly changing climate.
What this development means is that countries whose economy is dependent on fossil fuels must consider diversification for their economy to stay vibrant. Failure to do so exposes them to the risk of reduced investment and a shrinking market for their fossil products.
Many African countries fall into this group and could see less money coming in from oil in the future. This is bound to intensely affect many of the continent’s economies already caught in the web of heavy debt and dwindling revenue.
Source: BI
