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As it is becoming clear that climate change will exert a major impact on inflation, economic growth, and financial system stability, central banks and financial regulators have increasingly recognized that they can no longer ignore climate change and other environmental issues. In general,...
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Der Klimawandel birgt zahlreiche Risiken für die Stabilität des Finanzsystems und für die Übertragung der Geldpolitik …. Für die Europäische Zentralbank existieren ausreichende wirtschaftliche und rechtliche Gründe, um Klimarisiken und den … Übergang zur Klimaneutralität stärker in die Geldpolitik zu integrieren. Die geldpolitischen Instrumente von Zentralbanken …
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This paper investigates the impact of central banks when supporting policies aiming at greening the financial system. The July 2021 Monetary Policy Strategy Review of the European Central Bank unexpectedly dedicated a whole workstream to climate change. The announcement had a significant effect...
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In 2019, Sweden's central bank, the Riksbank, sold carbon-heavy bonds from its foreign exchange reserves. This act led to the Riksbank being labelled a frontrunner in what has been referred to as green central banking (GCB). The growing interest in proactive central banking has led to a wealth...
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Climate risk has become a major concern for financial institutions and financial markets. Yet, climate policy is still in its infancy and contributes to increased uncertainty. For example, the lack of a sufficiently high carbon price and the variety of definitions for green activities lower the...
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