Climate change is not only an environmental challenge—it’s a serious threat to global economic and social stability. Recent studies show that, contrary to earlier forecasts, the effects of global warming could impact global incomes far more severely than expected, with the most vulnerable populations paying the highest price. The intensification of extreme weather events, disruptions to agricultural production, and rising costs associated with the transition to a sustainable economy could significantly worsen economic conditions, especially in many of the world’s poorer regions.

According to a recent study published in Environmental Research Letters, climate change could reduce global GDP by up to 40% by the end of the century—a figure far worse than initial estimates. While earlier models focused only on local impacts, this new analysis suggests that when global effects are taken into account, the economic losses escalate dramatically. The most vulnerable countries—especially those with limited resources—will be hit the hardest, lacking the infrastructure and tools needed to face the economic and environmental challenges posed by climate change.

The direct impact on poverty is devastating. Agricultural crises caused by drought and extreme weather reduce food availability, push up consumer prices, and cut household income for those who depend on farming. At the same time, natural disasters destroy essential infrastructure like homes and hospitals, forcing millions to migrate or live in even more precarious conditions. This further deepens social inequality, restricts access to basic services, and undermines social stability.

In an increasingly global and interconnected world, the challenges of climate change transcend national borders and demand coordinated, multi-level solutions. At Regg3, we believe that only a paradigm shift can truly change course: turning impact into regenerative value. To do this, we need reliable data, a systemic vision, and tools that connect business decisions to the real needs of communities and the environment.

Is your company truly creating value for the local area—or is it at risk of going unnoticed?
Book a free demo – link – and discover how Regg3 can help you turn sustainability into a strategic, tangible, and measurable opportunity.