The region’s economic and environmental outlook depends on how policymakers and business leaders respond to unique threats and opportunities.
It’s one of the world’s few remaining largely unspoiled frontiers, larger than the United States and home to fewer than 10 million people. But what’s the future of the Arctic? The region – with areas claimed by the US, Canada, Russia, Denmark, Norway, Sweden, Finland, and Iceland – is facing the disruptive challenges of climate change and shifting global political, social and economic patterns. How policymakers and business leaders respond will dramatically affect its future.
Arctic 2050, a new report by the SKOLKOVO Institute for Emerging Market Studies and Nord University Business School, supported by EY, finds two critical dimensions of uncertainties could lead to a significant shift in the Arctic region: the quality of the institutional environment, including the effectiveness of environmental, social and demographic policies and regulations, the availability of financial incentives and the quality of governance; and the pace of development of technology and innovation, including the level of digitalization and connectivity, the commercialization of technologies, and the cost of doing business.