Sweden earned its #1 spot in sustainability for its use of renewable energy sources, low carbon dioxide emissions, and social and governance practices such as labor participation, according to a report by sustainability investment firm Robecosam.
Australia, Switzerland, Denmark, and Norway made the top five followed by The United Kingdom coming in sixth place, followed by Canada, Finland, the US, and then the Netherlands.
The sustainability report by Robecosam analyzed 59 countries on environmental, social, and governance factors considered relevant to investors. The countries were judged on their environmental policies, emissions, energy use, energy sources, risk mitigation, and biodiversity.
For instance, countries that heavily rely on fossil fuel imports are vulnerable to external price movements or shortages, which would result in a lower score.
Most investors view climate change as a huge risk and as a result have advanced their commitment to addressing climate change in their investments.
By 2045, Sweden will have reduced their emissions by 85% to 100%, and in addition to that, over half of the total energy consumption has been produced by renewable sources.
Sweden also lowered their emissions through the use of electric buses, smart roads, and urban farming. Sustainability has also been achieved by the utilization of food banks and recycling systems.