Tag: Financial Stability

Fortifying the Role of Finance After Indonesia’s Floods

and | 14 March 2026
Monetary, Op-Eds | Tags: Climate Risks, Financial Stability, Governing Finance, Indonesia, Macroprudential Policy
The floods are a stark reminder that finance is never neutral. When well governed, it can absorb shocks, speed reconstruction and strengthen resilience. When misaligned, it can amplify fragilities and lock in future risks. ... continue reading

Upgrading Housing: the Potential and Limits of Borrower-Based Measures

, , , , and | 3 March 2026
Monetary, Discussion Notes | Tags: Credit Risk, Energy, Financial Stability, Housing, Macroprudential Policy
This paper explores how borrower-based measures (BBMs) can be adjusted to provide additional funding for housing-related energy-efficiency investments without compromising financial stability objectives. ... continue reading

The Macroprudential Response to Climate Systemic Risk: Four Essential Pillars

, , and | 26 February 2026
Monetary, Policy Briefs | Tags: Climate Risks, Financial Stability, Macroprudential Policy, Portugal, Systemic Risks
While existing macroprudential policy toolkits can already be deployed to address climate-related systemic risk, their implementation shall account for the data available to assess climate-related risks, the state of knowledge about them, and the institutional frameworks in which macroprudential instruments operate. ... continue reading

Unlocking Doors to Better Homes: Smarter Borrower Limits for Housing Upgrades Across Europe

and | 15 October 2025
Monetary, Blog | Tags: Credit Risk, Energy, Financial Stability, Housing, Macroprudential Policy
Upgrading the energy efficiency of Europe’s homes is a cornerstone of the European Union’s strategy to achieve climate neutrality. Buildings account for about a third of the EU’s energy-related greenhouse gas emissions, making them one of the largest contributors to climate change. ... continue reading

From Risk to Resilience. Closing the Climate Insurance Protection Gap

| 8 September 2025
Monetary, Policy Briefs | Tags: Climate Risks, Financial Stability, Inequality, Insurance
When insurers stop covering climate risks, these risks are transferred onto individuals, businesses, and taxpayers. Insufficient insurance coverage not only undermines the financial system’s ability to absorb shocks but also has wider economic, fiscal, and social repercussions. ... continue reading

A Macroprudential Approach to Compound Climate Risks

and | 5 September 2025
Monetary, Policy Briefs | Tags: Climate Risks, Financial Stability, Macroprudential Policy, Systemic Risks
Macroprudential authorities can make an integral contribution to a more resilient financial system capable of withstanding the evolving challenges posed by climate change, economic shocks and their complex interplay. ... continue reading

Climate Change and Inflation Targeting Frameworks

14 April 2025 | 18.00 CET | Online | Co-hosted with E-axes Forum
Monetary, Webinar | Tags: Central Banks, Climate Risks, Financial Stability, Inflation
How can monetary policy adapt in a world where negative supply shocks caused by climate change as well as the introduction of carbon taxes may intensify persistent inflationary pressures?. ... continue reading

Micro- and Macroprudential Options to Reduce Climate Financial Risks

14 April 2025 | Online | by Invitation | Co-hosted with I4CE
Monetary, Roundtables | Tags: Climate Risks, Financial Stability, Financial Supervision, Macroprudential Policy, Systemic Risks
Given the accelerating pace of climate-related threats, financial regulators must strengthen the banking sector's resilience and mitigate the buildup of climate risks. ... continue reading

Macroprudential Systemic Capital Buffers to Address Climate Systemic Risks

10 March 2025 | 9.00-10.00 CET | Online | Co-hosted with AMRO
Monetary, Webinar | Tags: Climate Risks, Financial Stability, Financial Supervision, Macroprudential Policy, Systemic Risks
The webinar co-hosted with AMRO expores the key arguments presented in a policy brief on "Principles for Addressing Climate Systemic Risks with Capital Buffers", written by Satoshi Ikeda (Chief Sustainable Finance Officer, Financial Services Agency of Japan) and Pierre Monnin (Senior Fellow, Council on Economic ... continue reading

China’s Monetary Stimulus. Aggregate and Structural Implications

| 13 February 2025
Monetary, Blog | Tags: Central Banks, China, Economic Growth, Financial Stability
The People’s Bank of China (PBOC) convened its 2025 work conference in Beijing from 3 to 4 January, signaling a commitment to maintaining a supportive policy stance in the new year following key steps in this direction in 2024. ... continue reading