In a world reshaped by climate change, achieving economic development has never been more urgent – or complex. This new report explores how countries can build strong, prosperous economies while navigating a new era of climate risks and global shifts.

For decades, the goal has been to find a balance between economic progress and climate action. Today, that balance is no longer a choice; it's a necessity. From historic droughts in Ethiopia to devastating hurricanes in Jamaica, climate change is already directly impacting livelihoods and industries. At the same time, the global race to a low-carbon economy is creating both new opportunities and unexpected challenges for developing nations.

This report dives into real-world examples from five low- and middle-income countries – Ethiopia, Jamaica, Kenya, Bangladesh and Kazakhstan – to show how they are responding to the threats and opportunities that both the changing climate and the international response to climate change are inducing. It reveals that the path forward isn't just about tweaking existing systems. It requires a deeper transformation that builds resilience from the ground up.

Report by the Overseas Development Institute