Capital, the Environment and Power in the 21st Century: Europe in Pole Position (Invest Europe)

Summary

• An annual shortfall of between €350 billion and €550 billion is needed to restructure the European economy and make it resilient to the climate crisis.p.3
• Climate-related damage reached $224 billion in 2025, marking the sixth consecutive year with over $100 billion in insured losses.p.3
• Global energy investment reached a record high of $3,300 billion in 2025, with clean technologies attracting around $2,200 billion.p.8
• European public financing available to private actors for environmental solutions is estimated at €100–130 billion per year.p.21
• Eurazeo mapped 206 private market Article 9 environmental funds representing €98.5 billion in cumulative assets under management.p.19
• The Net-Zero Asset Owner Alliance brings together 86 major asset owners representing nearly $9,200 billion in assets under management.p.9

Key insights

1. The rate of global warming accelerated to 0.35°C per decade between 2015 and 2025 compared with an average of 0.2°C per decade over 1970–2015.p.7
2. The European Omnibus Package reduced the scope of the Corporate Sustainability Reporting Directive by 80%.p.3
3. Clean-tech accounts for 11.4% of China's GDP.p.3
4. Microsoft has become a leading purchaser of clean electricity with 34.7 GW contracted as of 31 December 2024.p.8
5. The European Union imported 92.7% of its oil and nearly 85% of its natural gas in 2024.p.14
6. Infrastructure represents 58% of private market Article 9 environmental funds AUM with 73 funds totaling €56.9 billion.p.19
7. European households held €39,500 billion in financial assets at the end of 2024.p.22