UN
European Central Bank President Christine Lagarde has called for stronger European investment in climate resilience following a summer marked by severe heatwaves, droughts and wildfires across the continent.
Speaking ahead of COP31 in Antalya, Lagarde warned that climate-related disasters are creating growing risks for European economies, infrastructure and energy systems.
She highlighted the need for improved financial protection against extreme weather, including a potential public-private reinsurance framework to help countries and communities manage disaster-related losses.
According to Lagarde, insurance has historically covered only around a quarter of catastrophe losses in Europe, leaving households, businesses and governments exposed to significant financial risks.
She also emphasized the importance of modernizing electricity grids, expanding energy storage capacity and improving connections between renewable energy generation and power networks.
These investments could help European energy systems respond more effectively to extreme weather while supporting the transition toward cleaner electricity.
Her remarks underline the growing connection between climate adaptation, economic stability and long-term infrastructure planning as European leaders prepare for international climate negotiations.
