Washington - Nations must be ready to make economic sacrifices to fight global warming, German Chancellor Angela Merkel said on Wednesday.
Evidence of climate change is "now unequivocal" and even business leaders, including in the United States, are recognising it as a "real challenge for humanity", Merkel told a 13-nation meeting in Washington of lawmakers concerned about global warming.
"If we act now and prevent the worst consequences, we will give up just one percent of our prosperity," she said.
If nations fail to act, the loss could be "five percent worldwide or even to 20 percent", she told the conference by video link.
Merkel did not elaborate on how the numbers were calculated.
Innovation in environmentally friendly technologies will create new business opportunities, Merkel said.
"Increased innovation, not zero growth, can and will be the answer," she said.
Merkel is chairing the Group of Eight richest nations in 2007 and has made new steps to fight global warming a focus of the German presidency.
The two-day "Legislators' Forum on Climate Change" groups the G8 and major emerging economies Brazil, China, India, Mexico and South Africa. G8 members are Britain, Canada, France, Germany, Italy,
Japan, Russia and the US. - Sapa-dpa