Abstract
In this chapter aims to define a broad picture of the present date and outlines the evolution of the regulatory and supervisory framework for managing climate-related risks in the financial sector: state of the art is presented mainly concerning the European Union (EU) context, also taking a broader look to the international context. The specific focus regards the banking sector.
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Notes
- 1.
For a review of regulatory and supervisory initiatives taken by the European Authorities in the first phase, to foster the green transition, to enhance the role of finance and to promote the management of climate risks by financial intermediaries, see: Mikkelsen D. et al. (2022), Gualandri E. and Nobili M. (2022).
- 2.
For the last updating of the proposals see “Principles for Climate-Related Financial Risk Management for Large Financial Institutions”, Notice by the Comptroller of the Currency, the Federal Reserve System, and the Federal Deposit Insurance Corporation on 10/30/2023. Retrieved from https://www.federalregister.gov/documents/2023/10/30/2023-23844/principles-for-climate-related-financial-risk-management-for-large-financial-institutions.
- 3.
For insights into the ECB 2022 CST, see: (ECB, 2021b) “Climate risk stress test—SSM stress test 2022”; (ECB, 18 October 2021c) “Dear CEO Letter. Information on participation in the 2022 ECB Climate Risk Stress Test”; (ECB, 2022a) “Macro-financial scenarios for the 2022 climate risk stress test 2022”; (ECB, July 2022c) Climate Risk Stress Test 2022.
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Gualandri, E., Bongini, P., Pierigè, M., Di Janni, M. (2024). Regulatory Framework, Standards, and Best Practices for the Financial Sector. In: Climate Risk and Financial Intermediaries . Palgrave Macmillan Studies in Banking and Financial Institutions. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-54872-7_2
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