NGFS to Publish Climate Reference Scenarios in Coming Months
NGFS published a report that presents an overview of the market dynamics for mobilizing sustainable finance, a dashboard on scaling up green finance, and the 2020 annual report that details the NGFS activities and key highlights of the year. NGFS also announced that it plans to publish an updated set of climate reference scenarios in the coming months; this will be accompanied by a presentation and technical documentation from NGFS as well as an interim report on the topic of "data gaps."
The report on overview of market dynamics for sustainable finance identifies three main channels through which financial markets can help steer the necessary transformation of the real economy toward higher levels of sustainability: disclosure, risk management, and the mobilization of capital. The report also provides key takeaways on the need for improvement for further consideration by policymakers and market participants. The dashboard on scaling up green finance is a first attempt to catalog desirable series that allow the evolution, change, and trend of a phenomenon (rather than its absolute level to be analyzed). It contains a set of 21 indicators tracking the greening of national financial systems. While presented at an aggregate level, the dashboard is intended for use at the jurisdictional level. To this end, metadata describe the country coverage and provide sources where these data can be found.
Related Links
Keywords: International, Banking, Insurance, Securities, Climate Change Risk, Sustainable Finance, ESG, Data Gaps, Scenarios, NGFS
Previous Article
MNB Requests Banks to Submit Digital Transformation StrategyRelated Articles
PRA Finalizes Supervisory Approach for Non-Systemic Banks in UK
PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.
EBA Finalizes Standards on Methods of Prudential Consolidation
EBA published a report that sets out the final draft regulatory technical standards specifying the conditions according to which consolidation shall be carried out in line with Article 18 of the Capital Requirements Regulation (CRR).
EBA Updates List of Other Systemically Important Institutions in EU
EBA updated the list of other systemically important institutions (O-SIIs) in EU.
BCBS Report Concludes Basel Risk Categories Can Capture Climate Risks
BCBS published two reports that discuss transmission channels of climate-related risks to the banking system and the measurement methodologies of climate-related financial risks.
UK Authorities Welcome FSB Review of their Remuneration Regime
UK Authorities (FCA and PRA) welcomed the findings of FSB peer review on the implementation of financial sector remuneration reforms in the UK.
PRA and FCA Letter on Addressing Risks from Use of Deposit Aggregators
PRA and FCA jointly issued a letter that highlights risks associated with the increasing volumes of deposits that are placed with banks and building societies via deposit aggregators and how to mitigate these risks.
MFSA to Amend Banking Act and Rules in Coming Months to Transpose CRD5
MFSA announced that amendments to the Banking Act, Subsidiary Legislation, and Banking Rules will be issued in the coming months, to transpose the Capital Requirements Directive (CRD5) into the national regulatory framework.
EC Delegated Regulation on Specialized Lending Exposures Under CRR
EC finalized the Delegated Regulation 2021/598 that supplements the Capital Requirements Regulation (CRR or 575/2013) and lays out the regulatory technical standards for assigning risk-weights to specialized lending exposures.
OSFI Proposes to Enhance Assurance Expectations for Basel Returns
OSFI launched a consultation to explore ways to enhance the OSFI assurance over capital, leverage, and liquidity returns for banks and insurers, given the increasing complexity arising from the evolving regulatory reporting framework due to IFRS 17 (Insurance Contracts) standard and Basel III reforms.
ECB Issues Results of Benchmarking Analysis of Recovery Plans of Banks
ECB published results of the benchmarking analysis of the recovery plan cycle for 2019.
