Macro-Fiscal Implications of Climate Change: The Case of Djibouti

Download or read book Macro-Fiscal Implications of Climate Change: The Case of Djibouti written by Mr.Alexei P Kireyev and published by International Monetary Fund. This book was released on 2018-11-01 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews the significant macro-fiscal challenges posed by climate change in Djibouti and the costs of mitigation and adaptation policies. The paper concludes that Djibouti is susceptible to climate change and related costs are potentially large. Investing now in adaptation and mitigation has large benefits in terms of reducing the related costs in the future. Reforms to generate the fiscal space are therefore needed and investment for mitigation and adaptation to climate change should be built into the long-term fiscal projections. Finally, concerted international efforts and stepping up regional cooperation could help moderate climate-related macro-fiscal risks.