The green economy, measured as the market value of listed companies earning revenue from climate solutions, has reached a record $10 trillion. Revenue from environmental products and services hit $5.5 trillion last year, its fastest growth since 2022, according to a new report from London Stock Exchange Group. Companies deriving over 20% of income from green activities have outperformed the broader market, with the S&P Global Clean Energy Transition Index surging more than 80% since end of 2024. Electric vehicles and advanced batteries were major growth drivers, adding $62 billion in revenue. Green-related mergers and acquisitions totaled $4.1 trillion over the past decade, nearly 13% of global deal value. The report notes the energy transition is increasingly driven by security and economic competitiveness, not just decarbonization goals. This suggests the sector's momentum may persist even as some governments retreat from climate priorities.
