Last week at the World Economic Forum in Davos, Morphosis unveiled the preliminary findings of the sovereign-level Adaptation Economy Index. The session, hosted by GreenUp Switzerland, brought together voices from finance, philanthropy, multilateral development banks, and innovation. The Adaptation Economy Index provides the first scoreboard-based methodology enabling policymakers to identify structural bottlenecks, investors to access critical information about investment-ready jurisdictions and solution providers to map market demand in the emerging Adaptation Economy.
The early findings indicate that no nation included in the sample is currently prepared for a severely climate impacted world. This illustrated the urgent need for adaptation and, with the information provided by the index, a measurable and investable opportunity.
Watch Morphosis Partner Jennifer Blanke present the index:
Why measure adaptation readiness?
Opening the discussion, Morphosis Partner Jennifer Blanke set out why Morphosis is creating Adaptation Economy indices. She made clear that adaptation has become an economic necessity, yet markets currently lack a shared way to interpret readiness.
Without decision-grade signals, capital cannot move at the scale required. While adaptation is already influencing economic outcomes, the absence of comparable metrics and common reference points means that investors, policymakers, and solution providers struggle to align around where action is most needed and most viable.
The first Adaptation Economy Index is intended to respond to this gap by providing a clearer picture of how prepared countries are to enable adaptation solutions to emerge, scale, and attract investment.
How can you define adaptation in market terms?
From the private sector perspective, Marisa Drew of Standard Chartered spoke directly to the challenge of scaling markets. For markets to grow, adaptation must be clearly defined and communicated in the language of returns. She emphasised that common definitions, like credible metrics, and demonstrable success cases, are essential to mobilising private capital.
Her contribution reinforced a core message of the session: adaptation will not happen at scale through intention alone. It requires clarity, comparability and policy signals that markets can act on.
Addressing vulnerability through policy and finance
Reflecting the multilateral development finance lens, Erik Berglof of the Asian Infrastructure Investment Bank highlighted that adaptation is most urgent where vulnerability is highest. He emphasised that policy-based financing is a critical tool for closing gaps, particularly in emerging and developing economies.
Berglof also underscored the concept of nature as infrastructure, pointing to its importance in addressing adaptation challenges and supporting long-term economic outcomes. Valuing nature appropriately, he argued, is central to addressing risk and enabling effective adaptation strategies.
Balancing rigor and usability
From a systems perspective, Sandrine Dixson-Declève, Honorary President of the Club of Rome, welcomed the economic framing of adaptation while cautioning against complexity that alienates decision makers.
Her call was to embed adaptation within broader economic thinking, including well-being and resilience, and to develop indicators that make the cost of inaction visible alongside growth. This balance between rigor and usability emerged as a recurring theme across the discussion.
Leslie Johnston of the Laudes Foundation reinforced that philanthropy cannot replace public finance or markets, but it can catalyse them. By backing place-based approaches, de-risking early models and setting standards, philanthropy can help demonstrate what viable adaptation markets look like in practice.
From the front row, Anne Christianson of the World Economic Forum highlighted a persistent tension: those who bear adaptation risk are often not those who capture the benefits. Standardised metrics and a shared lexicon are essential to aligning actors and unlocking scale.
From insight to action
Closing the session, Iván Markman, private tech investor and advisor, brought an innovation lens, noting that startups are ready to deploy adaptation solutions but often face slow, bureaucratic pathways. Accelerating adaptation will require mechanisms that allow innovators to engage more quickly with governments and large institutions.
Together, the discussion reinforced why measuring the Adaptation Economy matters. Adaptation is already reshaping economies, but markets need better tools to respond.
Download our latest report “Measuring the Adaptation Economy”
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