Building Back Better: The Role of Green Fiscal Policies - Policy Brief

The COVID-19 pandemic has exposed the many fragilities of our economies, and deepened existing inequalities, while highlighting the need for resilience, innovation, and cooperation in our societies. The immediate priority is on emergency measures to address the health crisis and its economic fall-out; but greening recovery efforts can help nations build back better after the pandemic to increase resilience to future crises by ensuring a healthy environment that backs healthy people. Green fiscal policies can play a key role in countries’ recovery efforts by removing inefficiencies in public expenditures and raising additional fiscal revenues which can be directed towards immediate COVID-19 relief measures while supporting medium- to long-term investments and planning for a more sustainable, resilient and inclusive future.