Investing in low carbon cities could help save up to $22 trillion (£14.08tn) by 2050.
That’s according to new research by the Global Commission on the Economy and Climate which comprises former heads of government, finance ministers and leaders in the fields of economics and business.
It found investing in low carbon emission transport, building efficiency and waste management could generate savings up to $17 trillion (£10.88tn).
The savings would increase if the measures are complemented with national policies such as support for low carbon innovation, reduced fossil fuel subsidies and carbon pricing.
The report added low carbon investments could also reduce greenhouse gas emissions by 3.7 gigatonnes per year by 2030.
It encourages cities to commit to low carbon strategies by 2020 and to the Compact of Mayors.
That is a global coalition of mayors and city officials pledging to reduce local greenhouse gas emissions, enhance resilience to climate change and track their progress transparently.
The report claims more than 130 cities have joined the coalition to set emissions reductions targets.
Michael R. Bloomberg, UN Secretary-General’s Special Envoy for Cities and Climate Change said: “The steps that cities take to shrink their carbon footprints also reduce their energy costs, improve public health and help them attract new residents and businesses.”