BoE Governor Mark Carney has been appointed as the United Nations (UN) Special Envoy for Climate Action and Finance. The appointment was announced by UN Secretary-General António Guterres. Mr. Carney will support the climate strategy of UN Secretary-General by galvanizing climate action and transforming climate finance for the 26th Conference of the Parties meeting in Glasgow in November 2020. The key focus will be on shifting the financial system toward mobilizing private finance to the levels needed to achieve the 1.5°C goal of the Paris Agreement. This will include building the frameworks for financial reporting, risk management, and returns to bring the impact of climate change to the mainstream of private financial decision making and to support the transition to a net zero carbon economy.
Mr. Carney said: “This provides a platform to bring the risks from climate change and the opportunities from the transition to a net zero economy into the heart of financial decision-making. To do so, the disclosures of climate risk must become comprehensive, climate risk management must be transformed, and investing for a net-zero world must go mainstream. BoE, the UK government and the UK financial sector can play leading roles in making these imperatives happen.” BoE, which is a founding member of the Network for Greening the Financial System and the Sustainable Insurance Forum, has been at the forefront of international efforts to understand and address the financial risks from climate change; therefore, these issues will continue to be an important focus for the Governor ahead of taking up this post.
Related Link: News Release
Keywords: Europe, UK, Banking, Insurance, Mark Carney, Climate Change Risks, ESG, UN Special Envoy, Paris Agreement, BoE
Previous ArticleEC Adopts Rules to Prevent Mis-Selling of Insurance Products
The European Banking Authority (EBA) has published the final templates, and the associated guidance, for collecting climate-related data for the one-off Fit-for-55 climate risk scenario analysis.
The European Banking Authority (EBA) recently published a report that recommends enhancements to the Pillar 1 framework, under the prudential rules, to capture environmental and social risks.
As a follow on from its prudential standard on the treatment of crypto-asset exposures, the Basel Committee on Banking Supervision (BCBS) proposed disclosure requirements for crypto-asset exposures of banks.
The Basel Committee on Banking Supervision (BCBS) and the European Banking Authority (EBA) have published results of the Basel III monitoring exercise.
The Prudential Regulation Authority (PRA) recently issued a few regulatory updates for banks, with the updated Basel implementation timelines being the key among them.
The U.S. Department of the Treasury has recently set out the principles for net-zero financing and investment.
The European Commission (EC) launched a stakeholder survey on the draft International Guiding Principles for organizations developing advanced artificial intelligence (AI) systems.
The finalization of the two sustainability disclosure standards—IFRS S1 and IFRS S2—is expected to be a significant step forward in the harmonization of sustainability disclosures worldwide.
Decentralized finance (DeFi) is expected to increase in prominence, finding traction in use cases such as lending, trading, and investing, without the intermediation of traditional financial institutions.
The Basel Committee on Banking Supervision (BCBS) published reports that assessed the overall implementation of the net stable funding ratio (NSFR) and the large exposures rules in the U.S.