Abstract: Businesses are activities that people engage in to produce and sell goods and services for profit. The quality of business activities in a country is affected by divergent factors;both postive and negative. Fiscal risks(climate change among others), Cyberattacks, energy price shock, profound social instability are part of the negatives which invariably affect the country’s economy. Increasingly, Climate change has become a strong, variable to contend with in business activities.
Climate change is a change which is attributed directly or indirectly to human activity that alters the composition of the global atmosphere over comparable time periods. It occurs when changes in Earth’s climate system result in new weather patterns that remain in place for an extended period of time.
The Story of Nigeria
Nigeria as a developing country with a population of about 200 million is likely to be adversely affected by climate change due to its vulnerability and low coping capability. In Nigeria, Fiscal risks which climate change is part of ranked second highest business risk. Its evidences on Nigeria arises from various climate change related impacts experienced like the increase in temperature, rainfall, sea level rise, etc.
Implications of climate change in Nigerian Businesses and economy.
Business is the soul of the Nigerian economy with its import and export ventures.
- One of the implications of climate change is a rise on sea levels. This factor affects businesses in the area of:
Tourism: Though beach based tourism does not add much to this economy, due to the sea level rise caused by climate change, the little contribution to the economy is hampered. Other tourist centres in Nigeria that can be accessed through water transportation gets to almost a halt whenever there is a rise in sea level.
- The 2012 and 2016 flooding in Anambra state and other parts of Nigeria caused by rise in sea level affected transportation of food items and goods to and from the rural/ river line areas of the state thereby adversely affecting our economy/business.
- Transiting from the use of oil and gas by businesses/companies to use of clean energy in order to reduce the emission of Green House Gas, affects businesses and the government economy negatively.
- Another implication are some of the measures government take to reduce these impacts like climate change levy, climate change agreement and EU emission trading system; all affect businesses negatively.
it is obvious that Nigerian businesses and economy have been adversely affected by climatic change/global warming. If policies, sensitiazation and sourcing for aids from Foreign donors are not prioritized, the climatic impact impact will be much worst. The objective of SDG will remain an illusion. The fight to checkmate global warming should be one for all and all for one.