The growing general scientific consensus on the effects of heavy industrialisation and economic growth on global warming, in particular, is reinforcing the notion that ‘business as usual’ is no longer sustainable. Climate models predict changes in sea levels and severity of storms, and the patterns of rainfall, among others. Such changes will have greater impact on developing countries, and more particularly on small island developing states (SIDS), because of their inherent vulnerability. There is also the realisation that sustainable development is not just an environmental issue: the dire economic, developmental and societal consequences of issues like climate change and environmental degradation puts the economic planners and financial managers at the centre of the debate.