Climate Risk Measurement : The Existing Landscape and Developments in Hong Kong’s Financial Services Industry

This report reviews global financial institutions’ motivations and challenges associated with climate risk measurement, and presents the results of a survey and interviews commissioned by the HKIMR, highlighting the existing landscape and developments on this subject in Hong Kong’s financial services industry. Financial institutions in Hong Kong are involved in the measurement of climate risk, with more than half of the survey respondents currently engaging in it and 76% having planned to allocate similar or more resources over the next 12 months. Although some challenges remain, the established experience of insurers in measuring climate risk can provide useful insights for other sectors. The report concludes by offering some considerations that can contribute to the discussion on how to facilitate and enhance climate risk measurement in Hong Kong