(Finance) – “Central banks and supervisors are not policymaker on climate and nature. Central banks and supervisors are policy takers on climate and nature. And we are Faced with an ever growing volume of climate and nature -related factors of which we must take into account to successfully fulfill our mandate. This is the fundamental principle that supports all our climate and nature activities at the European Central Bank. ” Frank Eldersonmember of the Executive Committee and Vice -President of the ECB Supervision Council, during a Market News International event.
“While the fundamental principle, namely that the climate and nature are relevant both for monetary policy and for banking supervision and, therefore, must be taken into consideration in the exercise of our tasks, is independent of the actions of the political decision makers on the matter of climate and nature, the intensity and configuration of the risks that in the end will materialize are not – he explained – the choices that the political decision makers in the field of climate and nature will make sure which combination of transition risks and physicists will materialize in the years to come“.
“To identify the risks related to climate and nature, the central banks, supervisors and banks that we supervise are entrusted to valid data – said Elderson – the reporting requirements in the EU financial framework will improve the Availability of reliable and comparable data necessary to identify and manage financial risks. This is essential to ensure that the wider sustainable financial framework can fulfill its purpose of unlocking funding for the green transition and thus contribute to the agenda of competitiveness of Europe “.
“AND inevitable that the risks related to climate and nature will increase – he concluded – hiding them will not make them disappear. And ignore them will not make them less threatening for monetary policy and banking supervision. That’s why we are respecting our strategic commitment to take this into account in our work “.