The role of the G7 in driving the economic transition

Recent world events, from the ongoing conflicts in Ukraine and Gaza and heightened tensions in the Middle East, to farmers’ protests in Europe, demonstrate why international cooperation matters more than ever. As we look ahead to the upcoming G7 Summit in June, world leaders can contribute to strengthening a global dialogue by developing policy responses to system-level risks, including climate change.

Continuing its ongoing policy engagement with G7 governments, the PRI has drafted a policy paper calling for increased policy action to drive a just, sustainable economic transition to net zero.

In line with the host country Italy’s stated priorities, the paper provides recommendations on the following key areas:

• The role of G7 in driving the transition through a whole-of-government approach.
• Sustainable finance regulation as a key instrument for the economic transition.
• Addressing the climate-energy nexus through policy reforms that align economic activity with net-zero across all sectors of the economy.
• Promoting the respect of fundamental rights along value chains through policy tools such as mandatory due diligence and by integrating socioeconomic considerations into any policy intervention aimed at the economic transition.
• Ensuring food security by mitigating the loss of biodiversity that threatens the resilience of agricultural systems.

The brief’s recommendations will provide G7 governments with a clear path towards collaboration for a more sustainable economy that supports environmental and social systems.

Download the full briefing below.