Rachel Kyte on World Bank's Inclusive Green Growth Report
May 9, 2012
In a video interview, World Bank Vice President for Sustainable Development Rachel Kyte discusses the new report Inclusive Green Growth: The Pathway to Sustainable Development.
"It's a myth that green growth is a luxury that only the rich can afford. Fragile countries, poor countries, fast-growing economies from the developing world all face planning decisions today that will either lock in an irreversible use of resources for the longterm or which will free countries from that. The decisions that have to be made today about urban transit systems, the decisions made today to plug the gap in energy access in many of these countries, the decisions made today about the water infrastructure, the sanitation needed for cities and for rural areas, these are all decisions that can be made based on resource efficiency and, if so, will allow countries to be more competitive, not less, going forward.
"There's no denying that our current economic system is enormously inefficient because we don't put a value on resources that are finite. We have today a looming crisis in food security, water security, and energy security, and, in that context, we have to build economic systems that force us and encourage us to be more resource efficient.
"This report on inclusive green growth is designed very much for a public policy audience, for smart policy decision-making and -taking by public policy officials. But there's a big piece of this which is about smart business too. We can expect that as resources become more and more constrained, prices will emerge for those resources, at which point it really does matter whether you have a high exposure to things which are going to become more costly over the longterm.
"So, as we've said in other areas, we at the World Bank think that inclusive green growth is about smart economics, resource-efficient economics, but also about smart business."
Vice President for Sustainable Development
The World Bank