Policymakers have also lacked instruments for measuring the alignment of capital markets with the "below-2 °C target". The key point of focus for this project was a tool for modelling the risks of realigning the financial system with a low-carbon economy and so making these risks measurable. The tool will be provided free of charge for investments in low-carbon market portfolios in emerging markets and developing economies. Risks for green recovery measures have been integrated into the tool as part of the IKI’s Covid-19 Response Package. Alongside the assessment of investment risks, instruments for political decision-makers were also developed, which can help in monitoring (towards the ‘global stocktake’) at a national level.
