“You can’t win a sports game if all you do is offence and no defence.”
Invested by Europe explores the forces shaping the European economy. In each episode, we hear from experts tackling the most pressing challenges—from housing and energy to innovation and infrastructure, security and defence. We look at what’s changing, what the solutions are, and how Europe is investing in its future. Watch the full series on our website.
What this episode is about
When people think about climate action, they often think about wind farms and solar parks. But cutting emissions is only part of the story. Even if mitigation succeeds, the climate will continue to change for many years — and societies, economies and infrastructure need to be ready.
In this episode of Invested by Europe, Roman Röhrl, climate change specialist at the European Investment Bank, tells us about climate adaptation: what it means, why it matters, and how it can be built into investment decisions.
The conversation in brief
Climate action is often understood as cutting emissions through renewable energy, energy efficiency and cleaner technologies. But mitigation alone is not enough. Even if emissions were stabilised tomorrow, the climate system would take many years to reach a new equilibrium. During that time, societies and economies remain exposed to climate impacts that are already locked in. Climate adaptation is about managing that reality — and bridging the gap between today’s risks and a more stable future. If climate mitigation represents playing offence against climate change, climate adaptation is the way to play defence – and we need to do both.
Adaptation focuses on reducing vulnerability to climate hazards such as flooding, heatwaves, landslides, erosion and drought. It starts with analysing how climate change affects a specific location, asset or economic activity, and then changing how investments are designed and managed to reduce that risk. In practice, this can mean:
- investing in flood protection that allows water to flow safely, instead of causing damage
- stabilising slopes in steep terrain
- deploying technologies and crops that are more resistant to drought
- insurance solutions that protect households and businesses against climate-related losses
Adaptation is not confined to a single sector. It needs to be mainstreamed across investment decisions. Integrating adaptation across sectors helps ensure that vulnerabilities are identified early and that risks are not overlooked simply because they fall between traditional policy or financing categories.
Multilateral development banks, including the European Investment Bank, play a central role in scaling up adaptation. They provide finance for investments dedicated to adaptation, set definitions and standards, and develop financial products that help promote and scale up resilience projects. Advisory services are also critical, helping public and private clients design investments that take future climate risks into account.
For policymakers and investors, the message is practical and forward-looking. Critical infrastructure should be financed with a default assumption that climate conditions will change over time — and may change more than expected. By working with commercial banks, private investors, homeowners and citizens, adaptation can be scaled up across the economy, helping societies build climate resilience together.
Key takeaways
- Climate adaptation complements mitigation by reducing the risks that climate change already creates.
- Adaptation works best when it is built into investment decisions across sectors.
- Long-term finance is essential to the scaling up of adaptation.
About the guest
Roman Röhrl is a climate change specialist at the European Investment Bank, where he is responsible for the Bank’s physical climate risk management in projects. His expertise lies in mainstreaming adaptation in investment projects, building resilience in institutions, and scaling up climate finance. Before joining the European Investment Bank, Roman worked at the German Development Agency (GIZ). He holds Master’s degrees from the University of Cambridge and the University of Munich in environment & development studies, social sciences and economics.
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