Planetary problems such as Climate Change and Global Inequalities need planetary solutions. While nation states remain fractured and isolationist, these solutions at a global level become more difficult to achieve. By contrast, as countries find ways to work together, such as with the EU-wide agreements and targets on carbon emissions (20% reductions by 2020), we move closer to global level measures to tackle these complex problems. The same would be true for financial measures such as a World Balance Sheet. With a strong European leadership in this topic, we would be far more likely to find ways to create a standard for multi-national accounting for things like Natural Capital than if each nation of the EU developed and operated an approach independently of the others. A European standard would take us a step closer to a global standard and the creation of a World Balance Sheet written in a financial language that all countries can understand.
This is not an argument for every aspect of governance to be globalised, but only for those aspects of human activity that require a global approach in order to succeed. Governance of human activities that contribute to Climate Change is one such aspect. That’s why the Planetary CFO will be voting for the UK to stay in the EU.
The Planetary CFO - working towards a sustainable World Balance Sheet.