The Bank of Spain recently published a report outlining the potential of satellite data for collecting climate-related data.
editorial
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The report addresses how difficult it is to obtain reliable environmental and climate data and how important it is in creating a green market. Satellite data or Earth observation (EO) data can solve this challenge by providing real-time, accurate climate-related data collected by satellites.
Satellite data can help capture information about deforestation, energy, emissions, agricultural risks, land use, GDP growth forecasts, tracking urban mobility, estimating oil reserves, and more. However, using space and satellite data presents challenges as there are limitations in data formats and spatial resolution.
Central banks and financial organizations have the choice between various satellites such as Landsat and MODIS, both of which collect EO data that can be used for sustainable developments. The availability of different satellites may vary depending on location and may be difficult to access for cloud-prone regions. The quality of the data collected also varies depending on the satellite.
Developments are still underway in space and Earth observation data, and there is great potential for these technologies to make a significant contribution to the development of green finance.