Antibiotic resistance is one of the world’s most rapidly emerging public health threats, already responsible for around 700,000 deaths per year. Without effective antibiotics even common infections and minor injuries become risky, perhaps even fatal.
The efficacy of our finite pool of antibiotics is also being recognised as a significant material threat to economies and market value. It is estimated that antibiotic resistance could cost the world $100 trillion in lost output between now and 2050. The EU estimates the issue is costing more than $1.5 billion in healthcare expenses and productivity losses in Europe alone.
Investors therefore have a motivation to join this global response to understand the value at risk to their investment portfolios. The market cannot afford to see key sectors of the economy, from big pharma to big farms, infected by antibiotics risk.
FAIRR’s collaborative engagement on this issue is now backed by 74 institutional investors with collective AUM of over $2.4 trillion. Active dialogue has seen some companies commit to embark on a structured process to phase out the non-therapeutic use of antibiotics in their supply chains.
This report demonstrates how investors are stepping up to manage these risks and the progress on this issue from the corporate and policy communities.