SINGAPORE: Climate risks may be growing, but only 22% of business leaders in Singapore see them as a major concern, according to the 2025 Risk & Resilience: Spotlight on Environmental & Climate Risk report by specialist insurer Beazley, as featured in Singapore Business Review.
Despite rising extreme weather events and environmental disruptions, corporate leaders in Singapore appear to be prioritising immediate business concerns over long-term climate risks.
It’s not only in Singapore, though. Across Asia, 83% of executives report that the current economic climate is forcing them not to prioritise sustainability goals. This percentage is higher than the global average of 73%.
Despite the relative indifference towards climate risks, a majority (77%) of Asian leaders have started to adopt new practices for risk management in response to the frequency of extreme weather issues. Concerns, however, on the energy transition are decreasing. Only 17% of executives now rank the transition to cleaner energy as a top risk – a big drop from 25% in 2024. 2024.
This trend could cause significant risks for companies in the region. While the city-state has set ambitious decarbonisation targets in key sectors, such as maritime energy, experts warn that corporate misalignment on climate threats could obstruct the successful execution of these goals. Businesses may find themselves vulnerable to these same disruptions they seek to mitigate if no stronger collective focus is placed on identifying and addressing environmental risks.
With 3,500 global business leaders polled, the survey revealed a pressing need for an adjusted approach when it comes to sustainability and risk management. Businesses in Asia, particularly in Singapore, show a growing recognition of environmental risks, but lack of alignment on climate priorities could delay progress in achieving economic and environmental goals.
With unpredictable weather patterns and environmental challenges being ubiquitous, business leaders are urged to act decisively – balancing short-term economic pressures with long-term sustainability obligations to ensure resilience in an unstable future.