Presentation from 7th OECD Forum on Green Finance and Investment (6-9 October, 2020) - Greetings and opening high-level plenary, Laurence Boone, OECD

1. 6th October 2020
Laurence Boone
OECD Chief Economist
7th OECD Forum on Green Finance and
Investment
Opportunities for a Green recovery
http://www.oecd.org/economy/outlook/
http://www.oecd.org/coronavirus/en/#id-9

2. © OECD |
An especially uncertain outlook
2Source: OECD Economic Outlook database; OECD calculations.
Global GDP projections
Constant pries, index 2019Q4 = 100
85
90
95
100
105
110
2019Q4 2020Q2 2020Q4 2021Q2 2021Q4
November 2019 projections September 2020 projections

3. © OECD |
70
75
80
85
90
95
100
105
Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20
Investment rebounded but remains subdued
Note: Based on capital goods production in the Euro area, Japan, Korea, the United Kingdom and the United States.
Source: Federal Reserve; Eurostat; Office for National Statistics; Ministry for Trade and Industry, Japan; Statistics Korea; and OECD calculations.
Production of investment goods
Advanced economies, January 2020 = 100
3

4. © OECD | 4
Seize this opportunity for a green recovery
Note: LHS: Countries are ordered by the scale of support with a direct budget impact. Shows official estimates, when available, of financial help included in emergency packages announced in the advanced economies in
response to the COVID19 crisis, as of 9 September. In many cases, they are highly uncertain due to an unknown duration of the crisis and take-up of various programmes by the private sector, and may not be fully comparable
across countries. RHS: Policies that are clean support the production or consumption of energy that is both low-carbon and has negligible impacts on the environment if implemented with appropriate safeguards. Policies that
are clean if environmental safeguards are met, support the transition away from fossil fuels, but are unspecific about the implementation of appropriate environmental safeguards i.e. electric vehicles can have a significant
impact on the environment if they are powered with coal- or gas-based electricity. Updated on 9 September 2020.
Source: OECD calculations based on official estimates; energypolicytracker.org.
Fiscal support is strong
Official estimates of fiscal support, % of GDP
Support could favour the green transition more
Policy support for energy types in recovery packages G20 countries,
USD billion
0
20
40
60
80
100
120
140
160
180
Fossil fuels,
without climate
targets
Fossil fuels,
with climate
targets
Clean energy, if
environmental
safeguards met
Clean energy Other energy
0
10
20
30
40
50
60
JPN DEU AUS CAN FRA GBR ITA USA KOR
Guarantees and loans
Tax deferrals
Healthcare spending
On-budget support for workers & companies

5. THANK YOU
http://www.oecd.org/economy/outlook/
http://www.oecd.org/coronavirus/en/#id-9