Central Banking and Green Finance

28-29 November, 2017. Co-organized with De Nederlandsche Bank
Monetary, Workshops | Tags: Climate Change, Financial Regulation, Green Finance

Co-organized with De Nederlandsche Bank
Amsterdam, Netherlands
Call for Papers (PDF)

  • When the Leaders of the G20 met in China in 2016 they highlighted the necessity to scale up green financing. They also endorsed efforts to “provide clear strategic policy signals and frameworks” to target this objective. The question to what extent central banks can and should contribute to this momentum is moving up policy agendas worldwide.

    Against this background, the Council on Economic Policies and De Nederlandsche Bank are organizing a workshop on “Central Banking and Green Finance”. The event will convene researchers from academia, central banks, and other non-academic research institutions on November 28-29, 2017 in Amsterdam, Netherlands.

    Topics of interest

    We are particularly interested in the following topics, but will also consider papers that deal with related issues that are not specifically mentioned below.

    – What are current impediments in financial markets for a significant expansion of green finance? What are the levers within their mandates that central banks have to help overcome these impediments?
    – What is the role of central banks and financial supervisors in the transition to a low carbon economy? How can these institutions best facilitate this transition?
    – How do monetary policy instruments (e.g. policy rates, collateral frameworks and quantitative easing) and financial regulation (e.g. capital requirements, disclosure rules) influence capital flows into different sectors? Through which transmission channels do these effects emerge? Are there sector biases in these effects?
    – Are there alternatives to the current design of conventional and unconventional monetary policy instruments and financial regulation that would be better aligned with the goal of scaling up green finance? What are potential consequences of these measures for the effectiveness of monetary policy?
    – What is the effect of green finance instruments (such as green bonds) on green investments? Specifically, what is the effect on the funding costs and the quantity of green investments?

  • Tuesday, November 28, 2017
    09.00 - 09.30Arrival and coffee
    09.30-09.45
    		Welcome and opening remarks
    Klaas Knot, De Nederlandsche Bank (Speech)
    Research session 1: Introduction
    09.45-10.30Finance and climate change: what role for central banks and financial regulators?
    Emanuele Campiglio    , Vienna University of Economics and Business (Paper) (Slides)
    Yannis Dafermos, University of the West of England
    Pierre Monnin, Council on Economic Policies
    Josh Ryan-Collins, University College London
    Guido Schotten, De Nederlandsche Bank
    Misa Tanaka, Bank of England
    Discussant: Gabriele Galati, De Nederlandsche Bank (Slides)
    10.30-11.00Coffee break
    Research session 2: Quantitative Easing
    11.00-11.45The climate impact of quantitative easing
    Sini Matikainen, London School of Economics (Paper) (Slides)
    Emanuele Campiglio, Vienna University of Economics and Business
    Dimitri Zenghelis, London School of Economics
    Discussant: Eftichios Sartzetakis, University of Macedonia, CCISC Bank of Greece (Slides)
    11.45-12.30Is there a role for central banks in the low-carbon transition? The EIRIN stock-flows consistent macroeconomic model
    Irene Monasterolo, Vienna University of Economics and Business, Boston University (Paper) (Slides)
    Marco Raberto, DIME, University of Genoa
    Discussant: Steve Keen, Kingston University
    12.30-13.30Lunch
    Research session 3: Green bond market
    13.30-14.15The green bond premium
    Olivier David Zerbib, Tilburg University (CentER), University of Lyon 1 (ISFA), I Care & Consult (Paper)
    Discussant: Alina Borovitskaya, De Nederlandsche Bank
    14.15-15.00Recommendations for central banks on how to support the development of the green bond market
    Diletta Giuliani, Climate Bonds Initiative
    Sean Kidney, Climate Bonds Initiative
    Alan Meng, Climate Bonds Initiative
    Discussant    : Sebastien de Brouwer, European Banking Federation
    Policy session: Central Banking and Green Finance
    15.00-15.30Coffee
    15.30-16.15Welcome by Jante Parlevliet, De Nederlandsche Bank
    Keynote speech
    Chris Barrett, European Climate Foundation
    16.15-17.30Panel discussion (Chatham House Rule)
    Olivier de Bandt, Banque de France
    Jakob de Haan, De Nederlandsche Bank
    Josh Ryan-Collins, University College London
    Molly Scott Cato, European Parliament
    Moderator: Alexander Barkawi, Council on Economic Policies
    17.30-18.30Drinks reception
    19.00-Dinner (by invitation)
    Wednesday, November 29, 2017
    Research session 4: Financial Stability
    09.00-09:45Coping with collapse: A stock-flow consistent monetary macrodynamics of global warming
    Gaël Giraud, Agence Française de Développement, Chair Energy & Prosperity
    Florent Mc Isaac, Agence Française de Développement, Chair Energy & Prosperity (Paper) (Slides)
    Emanuel Bovari, University Paris I, Chair Energy & Prosperity
    Discussant: Marco Raberto, DIME, University of Genoa
    09.45-10.30Climate risk and capital regulation; Supervising the ultimate systemic risk
    Rens van Tilburg, Sustainable Finance Lab and Utrecht University
    Arnoud Boot, University of Amsterdam
    Discussant: Maarten Vleeschhouwer, De Nederlandsche Bank
    10.30-11.00Coffee break
    Research session 5: Carbon Risk and Financial Sector
    11.00-11.45Being stranded on the carbon bubble? Climate policy risk and the cost of loans
    Manthos Delis, Montpellier Business School
    Kathrin de Greiff, University of Zurich, Swiss Finance Institute
    Steven Ongena, University of Zurich, Swiss Finance Institute, KU Leuven, CEPR
    Discussant: Jean-Stéphane Mésonnier, Banque de France (Slides)
    11.45-12.30Carbon risk
    Maximilian Görgen, University of Augsburg
    Andrea Jacob, University of Augsburg (Paper)
    Martin Nerlinger, University of Augsburg
    Martin Rohleder, University of Augsburg
    Marco Wilkens, University of Augsburg
    Discussant: Bert Scholtens, University of Groningen, University of Saint Andrews
    12.30-12.45Conclusions
    Pierre Monnin, Council on Economic Policies

  • – Jakob de Haan, De Nederlandsche Bank
    – Prakash Loungani, International Monetary Fund
    – Pierre Monnin, Council on Economic Policies
    – Guido Schotten, De Nederlandsche Bank
    – Misa Tanaka, Bank of England
    – Maarten Vleesschouwer, De Nederlandsche Bank