What are they say about the climate action between political uncertainty?

For months, the titles have been dominated by enterprise walking back OR Delaying climate commitments. Increasing costs, geopolitical tensions and economic uncertainty have prompted concern that corporate sustainability efforts can lose momentum. However, a new study of 500 CFO tells a different story:

Far from their backs, financial leaders are doubled in climate action and sustainability-recognizing it as a necessary investment in both long-term and business resistance.

According to the report “Course Standing: Main Financial Officers and Green Transition,“ Issued on February 17, 2025, a strong majority of CFO remain committed to increasing climate investment – with many expecting higher financial returns from green initiatives than from traditional investment.

This suggests a substantial change in corporate financial strategy. Sustainability is no longer seen as a matter of corporate social responsibility – now it is a financial necessity driven by market opportunities, risk management and developing regulatory landscapes.

This study, conducted by us, has no time and Kearney, gathered knowledge of CFO throughout the United States, the United Kingdom, the United Arab Emirates and India. The data reveals a shift in corporate finances: Sustainability is no longer seen as a warm concern, but as an essential business strategy.

“The CFO perspective is often overlooked in the corporate sustainability debate, however their role is essential. As those in control of financial levers, CFOs are uniquely positioned to have a long-term impact on the business strategy. And our study highlights that they are already taking steps in this regard. ”

Main Findings: CFOs see consistency as profitable

• 93% recognize a clear business case to invest in sustainability, however 61% still see these investments mainly as a cost than a creator of value – increasing financial models still have to evolve.
• 92% plan to increase sustainability investments in 2025, with more than half of the “significant” growth commitment.
• 69% of CFOs expect higher returns of sustainability initiatives compared to traditional investment – a clear sign that sustainability is increasingly seen as a financially healthy business strategy.
• 65% are already measuring the cost of inaction, especially in the United States (75%), signaling the increasing awareness of the risks of climate failure.
• 61% of CFOs see sustainability investment mainly as a cost decision than as something that creates value

Financial Change: Why CFOs are investing more in consistency

Historically, sustainability efforts have been led by CEO and key sustainability (CSOs) officials, while CFO focused on alleviating risk rather than processing green initiatives proactive. This is changing.

Recent data signal a large shift in the financial strategy. CFO is increasingly seeing consistency not as a regulatory load, but as a growth catalyst. More than two -thirds now wait for green investments to exceed traditional ones, strengthening the idea that sustainability is a valuable impulse, not just a compliance requirement.

Moreover, the increase in regulatory risks, including new rules of sustainability detection, are making CFOs integrate climate-related financial planning into their broader business strategy-long-term sustainability and benefit.

One main receipt from the report is that companies that prioritize sustainability are not only preparing for regulatory shifts – they are actively positioned as leaders in a global developing economy.

Control of reality: a gap in CFO prospects

However Findings also expose an objection: 69% of CFOs expect strong financial returns from sustainability, but 61% still see it as largely a cost. This indicates that while what they understand the potential for long-term financial benefits, many still lack the right financial models to capture the true value of sustainability investments.

This underlines a critical gap: Businesses should evolve financial appraisal models to calculate the full impact of green investments-including avoided costs, the benefits of regulatory compliance and the value of the long-term brand.

Making immediate actions: CFO prioritize practical measures of sustainability

Instead of waiting for 2050 net-zero goals, CFOs are prioritizing high-term, high-impact sustainability measures that generate measurable financial and environmental returns.

The main investment priorities for 2025 include:

• Durable materials -The emissions abuse by moving to renewable and low -impact resources.
• Sustainable innovation and partnerships – Investing in pure technology and collaborations that direct green solutions.
• Energy management and waste reduction – Reduce costs through energy efficiency and resource optimism.
• Decarbonation of the supply chain – Integrating sustainability into auxiliary and logistical operations.

This change also reflects a broader tendency in the corporate strategy-where financial leaders are passing from passive climate commitments for active decision-making, driven by data that integrates sustainability into major business functions.

Strategies of sustainability and workforce: a generative change

The report also underlines how workforce expectations are affecting CFO decision -making. 71% of CFOs now consider sustainability in employee pension funds – a clear response to employees seeking more green investment opportunities. Moreover, 94% integrate sustainability into broader investment decisions, suggesting that ENG considerations are no longer a “bonus” but an essential factor in financial planning.

This is an important shift. While employees and investors are pressured for more value-related financial strategies, CFOs are responding by introducing sustainability into essential financial decision-making.

While younger generations take on leadership roles, sustainability -led financial decisions are likely to become standard than exception.

Do you mean CFOS responses to green transition?

While corporate sustainability barriers have made titles, the latest data represent a more optimistic perspective. Financial decision makers are not back on green investments; On the contrary, they are doubled. The link between durability and benefit is clearer than ever, with most CFOs who know the financial advantages of green investment. Moreover, the estimation of the inaction cost has become a major course, as companies increasingly see that they fail to invest in sustainability as a greater financial risk than to make the transition.

A common call for action by CFOs and financial institutions

While financial decision makers are staying firm in green investments, the policy landscape must support them. CFOs are increasingly approximating investment strategies with climate goals, but they need regulatory sustainability, clear frameworks of sustainability and strong policy signals to ensure long-term success.

This call for stability does not only come from CFO. A coalition of over 200 investors, managing 6.6 trillion € in the property, has recently urged the European Commission to defend its sustainable finance regulations between discussions of possible returns. These investors warn that weakening of green finance rules would create uncertainty, slow capital flows to climate solutions and undermine Europe’s competition in the Neto-Zero economy.

The message from both the CFO and the main financial institutions is clear: the future of finance is green. Now is the time for businesses and policymakers to accelerate – not to withdraw from – climate action.