Financial Resilience in an Age of Environmental Change: Central Banks and Financial Regulators Feel the Heat
Sunil Sharma | 16 October 2024
Monetary,
Policy Briefs | Tags:
Central Banks,
Climate Risks,
Financial Governance,
Financial Supervision,
Green Finance,
Systemic Risks In an era of chronic and acute disruptions, durable price and financial stability will require not just accounting for financial hazards, but also engaging in promoting a structural transition. With time running out and the world approaching critical ecological thresholds, central banks and financial regulators
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Principles for Addressing Climate Systemic Risks With Capital Buffers
Satoshi Ikeda and
Pierre Monnin | 10 October 2024
Monetary,
Policy Briefs | Tags:
Central Banks,
Climate Risks,
Financial Stability,
Financial Supervision,
Macroprudential Policy,
Systemic Risks Some supervisors have started exploring and assessing the different macroprudential instruments available to address climate systemic risks. Systemic capital buffers emerge as one promising option among the different instruments in their toolkits.
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Climate-Related Systemic Risks and Macroprudential Policy
Paul Hiebert and
Pierre Monnin | 9 August 2023
Monetary,
Policy Briefs | Tags:
Climate Risks,
Financial Stability,
Financial Supervision,
Macroprudential Policy,
Systemic Risks Central banks and financial supervisors must rapidly develop sound risk management practices adapted to a context in which policy decisions rely on imperfect data and high uncertainty.
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Is the Current Macroprudential Framework Fit for Climate Systemic Risk?
Pierre Monnin | 13 November 2022
Monetary,
Blog | Tags:
Central Banks,
Climate Risks,
Financial Stability,
Macroprudential Policy,
Systemic Risks Climate change and the transition to a low-carbon economy have a clear systemic dimension, and they potentially pose a systemic risk for the financial sector. This has been highlighted by several international and national financial authorities and urgently needs to be addressed.
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Systemic Risk Buffers – The Missing Piece in the Prudential Response to Climate Risks
Pierre Monnin | 1 June 2021
Monetary,
Policy Briefs | Tags:
Climate Risk,
European Systemic Risk Board,
Macroprudential Regulation,
Systemic Risks Climate-related financial risks can potentially destabilize the financial sector. This fact is acknowledged by the major international financial bodies – the Financial Stability Board (FSB), the Bank for International Settlements (BIS), the International Monetary Fund (IMF) – as well as by the Central Banks and
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