Different EU and US supervisory approaches to climate risk may hamper efforts to work together and risk fragmenting global markets.
Date: February 18, 2021
Topic: Finance & Financial Regulation
Climate change is a growing financial risk as well as an environmental threat. Increasingly, banks and asset managers are seeking ways to prevent future climate shocks from upending their businesses, while investors often seek ways to push their financial resources in ways that will help, rather than hurt, efforts to address global warming. Sustainable finance has grown rapidly over the past year, accelerated by the response to the COVID-19 pandemic, even if it still makes up only a fraction of global financial markets.
Central banks have joined the debate, but