02295cas a2200325 a 4500 AALejournalIMF023216 230101c9999 xx r poo 0 0eng d 9798400219641 20.00 USD 1018-5941 BD-DhAAL BD-DhAAL Tovar Mora, Camilo. Stress Testing the Global Economy to Climate Change-Related Shocks in Large and Interconnected Economies / Camilo Tovar Mora, Yiqun Wu, Tianxiao Zheng. Washington, D.C. : International Monetary Fund, 2022. 1 online resource (33 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students We stress test the global economy to extreme climate change-related shocks on large and interconnected economies. Our analysis (i) identifies large and interconnected economies vulnerable to climate change-related shocks; (ii) estimates these economies' external financing needs-at-risk due to these shocks, and (iii) quantifies the spillovers to the global economy using a global network model. We show that large and interconnected economies vulnerable to climate change could trigger a drain of USD 1.8 trillion in international reserves (2 percent of 2019's global GDP). Domestic and multilateral macroeconomic policies can help reduce these global lossess to about USD 0.8 trillion. The scenario highlights the importance of considering global spillovers when assessing the impact of climate change-related shocks. Mode of access: Internet Globalization imf International Finance Forecasting and Simulation imf International Lending and Debt Problems imf Macroeconomic Aspects of International Trade and Finance imf Open Economy Macroeconomics imf Wu, Yiqun. Zheng, Tianxiao. IMF Working Papers; Working Paper ; No. 2022/189 Full text available on IMF https://elibrary.imf.org/openurl?genre=journal&issn=1018-5941&volume=2022&issue=189 IMF e-Library