Abstract
In this chapter explores the transmission channels through which climate risk finds concrete materialization in the "traditional" risks. To this end, the two main climate risk drivers affecting financial institutions’ risks via micro and macroeconomic transmission channels are introduced: transition risk and physical risk. The mentioned environment and climate-related risk factors do not yet widely constitute an ad hoc risk category in risk management practices, but they are universally considered through traditional risk categories.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Basel Committee on Banking Supervision (BCBS). (2021a, April). Climate-related risk drivers and their transmission channels. Retrieved from www.bis.org/bcbs/publ/d517.pdf
Bonagura, G., D’Amico L., Iacopino A., Prosperi L., & Zicchino L. (2021, June 6). Stocks’ liquidity and Environmental Performance. Bancaria.
Network for Greening the Financial System (NGFS). (2021, October). Scenarios in action: A progress report on global supervisory and central bank climate scenario exercises. Retrieved from https://www.ngfs.net/sites/default/files/medias/documents/scenarios-in-action-a-progress-report-on-global-supervisory-and-central-bank-climate-scenario-exercises.pdf
Network for Greening the Financial System (NGFS). (2022, September). Scenarios for central banks and supervisors. Retrieved from https://www.ngfs.net/sites/default/files/medias/documents/ngfs_climate_scenarios_for_central_banks_and_supervisors_.pdf.pdf
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
Copyright information
© 2024 AIFIRM
About this chapter
Cite this chapter
Gualandri, E., Bongini, P., Pierigè, M., Di Janni, M. (2024). Transmission Channels of Climate Risk. 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_3
Download citation
DOI: https://doi.org/10.1007/978-3-031-54872-7_3
Published:
Publisher Name: Palgrave Macmillan, Cham
Print ISBN: 978-3-031-54871-0
Online ISBN: 978-3-031-54872-7
eBook Packages: Economics and FinanceEconomics and Finance (R0)