Second edition Green Stimulus Index

September 23, 2020

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The Greeness of Stimulus Index (GSI) assesses the effectiveness of the COVID-19 stimulus efforts by G20 countries in ensuring an economic recovery that takes advantage of sustainable growth oppor-tunities, and builds resilience through the protection of the climate and biodiversity. 

It provides a method to gauge the current impact of the COVID-19 responses, to track countries’ progress over time, and to identify and recommend measures for improving the effectiveness of those responses.

The Greenness of Stimulus Index (GSI) shows that governments to date have largely failed to harness this opportunity. Announced stimulus to date will have a net negative environmental impact in 16 of the G20 countries and economies. Among developed countries, the US stimulus stands out as the most damaging. Australia, Italy and Japan join them on the net negative side, owing largely to the existing negative impacts of their environmentallyintensive sectors, and their lack of decisive action to use the stimulus to take specific actions to restore nature and mitigate climate change.

This is an update of the Index – it incorporates significant new information that has become available since the previous release. The latest announcements on stimulus flows, deregulation and environmental policies have been incorporated into the analysis.

Vivid Economics (2020) Greenness of Stimulus Index (Second Edition). Finance for Biodiversity Initiative

58 pages

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