Climate Policy Initiative’s Post

Sharing is caring - so here is more informative documents to get acquainted with (just need to find time to read them all!)

EFRAG zwraca uwagę na dwie publikacje OECD - OCDE:   👉 A Supervisory Framework for Assessing Nature-related Financial Risks 👉 Managing Climate Risks and Impacts Through Due Diligence for Responsible Business Conduct #RBC #riskbasedduediligence #duediligence

#ArcanoGlobalResearch | The European Commission proposed on June 19th to open excessive deficit procedures for France, Italy, and five other countries that have accumulated increasing public debt and deficits. The announcement came as so-called far-right parties made major gains in the last European Parliament election, and the French President called a snap election, which has put financial markets on alert. The purpose of this report is to help decision-makers understand the critical factors that would contribute to an episode of stress in the sovereign debt markets across the euro area. Not our baseline, but the adverse scenario would imply a widening of spreads not always justified by macroeconomic fundamentals and amplified by fluctuations in market sentiment. When this becomes a self-reinforcing dynamic, it can present a risk to financial stability. Hence, the relevance of preparing for tail events in risk management approaches, even though we assign them a very low probability of occurrence. Click here for more: https://bit.ly/3XG8y3J ____ Ya-Lan Liu - Ignacio de la Torre - Leopoldo Torralba - Pedro Larrasquitu - Arcano Partners #research #economics #investing #future

EFRAG congratulates the OECD - OCDE for the launch of their two new publications: “A Supervisory Framework for Assessing Nature-related Financial Risks” and “Managing Climate Risks and Impacts Through Due Diligence for Responsible Business Conduct’ 🍃  ✏️The first paper, launched at the occasion of the OECD's Forum on Green Finance and Investment’ on 2-3 October, presents a supervisory framework to help central banks and financial supervisors identify, prioritise, and assess nature-related financial risks. This framework provides a four-step framework to help translate biodiversity- and other nature-related risks into economic and financial risks ▶️ https://lnkd.in/eggBu5dy  ✏️The second report explores how institutional investors can apply risk-based due diligence as recommended by the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct and help them prevent and mitigate adverse climate impacts associated with their investee companies on society and the environment, providing practical recommendations ▶️ https://lnkd.in/exQrXYMC In these decisive times, EFRAG highly welcomes initiatives that supports investors, financial institutions and other stakeholders of our real economy to succeed in the green transition ✔️ #CSRD #GreenTransition #RBC #ClimateChange

#GreenCentralBanking roundup: ✅ CETEx (Centre for Economic Transition Expertise) at The London School of Economics and Political Science (LSE) launched to support policymakers develop ambitious transition plans 🇦🇿 Azerbaijan advances climate finance taxonomy to promote green growth 🇪🇺 European Central Bank requires banks to integrate climate risks into capital adequacy assessments And more 👇 GreenCB.co/4aLyAFW

Published in the Annual Review of Financial Economics, this paper explores the design of climate stress tests to assess and manage #macroprudential risks from climate change in the financial sector. The climate stress scenarios currently employed by regulators are reviewed, highlighting the need to: (a) consider many transition risks as dynamic policy choices, (b) better understand and incorporate feedback loops between climate change and the economy, and (c) further explore compound risk scenarios in which climate risks co-occur with other risks. The process of mapping climate stress scenarios into financial firm outcomes is discussed including incorporation of existing evidence on the effects of various climate-related risks on credit and market outcomes. Authors argue that more research is required to: (a) identify channels through which #plausible #scenarios can lead to meaningful short-run impact on credit risks given typical #bank loan maturities, (b) incorporate banklending responses to climate risks, (c) assess the adequacy of climate risk pricing in financial markets, and (d) better understand how market participants form climate risk expectations and how that affects financial #stability. Finally, the advantages and disadvantages of using market-based climate stress tests that can be conducted with publicly available data to complement existing stress-testing frameworks are discussed. #GRC #climaterisk #riskmanagement #stresstesting #riskassessment #ESG #transitionrisks #physicalrisks #climatechange

Interesting view from Prof Marcos Cordeiro Pires after Fitch Ratings cut outlook on China's sovereign credit rating to negative. He argues that when we are faced with the "opinions" of credit rating agencies, we need to be very careful with the information disclosed. There are always interests behind the graphs, models and equations they present. We therefore need to analyze reality carefully and not let ourselves be betrayed by biased information. In his wisdom, in all cases, it is worth reinforcing an old lesson once again: Seek truth from facts, not opinions. Read https://lnkd.in/dM2rSnbk

Find out how highly successful Tech-Savvy executives, thoughtful leaders, visionaries, and talented High-Tech experts leverage technologies, harness artificial intelligence, and unlock IT potential to navigate risks while capably monitoring organization's financial performance. How to assess Human Resources Capacity Building, Development and Training Programs? Do METRICS matter? What is Benchmarking? The list of the TOP 30 most in-demand skills and core leadership digital competencies required and necessary for the positions of C-suite executives in the digital age of change. Furthermore, learn from the right talented EXPERTS about the TOP 50 Global High Risks and Challenges in 2024. Is your organization at high risk? What is Cybersecurity in simple words? Is Cybersecurity the practice of protecting systems, networks, and programs from digital attacks? "Dear Mr. Beuns, we look forward to virtually welcoming you at the International Finance Corporation (IFC) Annual Research Conference on Digitalization and Development in Paris, France, Europe, from January 22-23." What is IFC? About IFC mission and goals? What is Digitalization? About Digital Transformation?  "Dear Mr. Beuns, thank you for your contributions to making the World Economic Forum (WEF) 2024 Annual Meeting an impactful global event from Jan 15-19 in Davos, Switzerland, Europe. We look forward to continuing our work together and converting new ideas into positive outcomes throughout the year." How do you assess your organizational readiness and effectiveness in the digital age of change? How to take on Enterprise Risk Management (ERM) to transform some of the world’s biggest challenges into great opportunities? Find out how talented Tech-Savvy executives adept at tapping into the power of emerging technologies. Discover how experts are harnessing the power of artificial intelligence (AI) to accelerate digital transformation and innovate bold solutions across a variety of industries. Take a closer look at how they’re doing it. How do you design the right organizational model, corporate human-centric culture of trust, and hierarchical structure to drive digital transformation, innovate bold solutions, and deliver quality results? How do you assess organizational readiness and effectiveness? Do METRICS matter? Is your organization at risk? How to analyze, oversee, and mitigate risks?  1) How EXPERTS leverage technologies, harness artificial intelligence, and unlock IT full potential to help organizations save millions, billions, and trillions of dollars? 2) The Economic Realities: What is the Artificial Intelligence (AI’s) impact on jobs? Does AI have the capability to replace C-level managers, C-suite executives, business leaders and board of directors? 3) What is STEM? Does AI offer policymakers and business leaders a window to navigate the evolving landscape of work? 4) What is the fiduciary duties of the corporate board of directors?

⏮️ Throwback on the last international research conference for academics and professionals organised by the Institut Louis Bachelier, the Banque de France and supported by I4CE - Institut de l'économie pour le climat / Institute for Climate Economics and l'Institut de la finance durable from the 12th to the 14th of december. The aim of these 3 days were to bring together academics, finance practitioners and regulators, to discuss together research issues related to the integration of climate-related, nature-related and transition-related risks into macro-economic modelling/forecasting and into the risk assessment of the financial sector. To watch the replay ➡️ https://lnkd.in/eaBGdS6M #SustainableFinance #Finance #ClimateChange

1944 (80 years ago)- Recognizing the need to establish a new monetary order, the 44 participating countries were able to look beyond the immediate crisis and lay the groundwork for new international institutions and future financial innovations. Just imagine what could be done now to address the climate and economic crisis that is about to hit the global economy....but the divide and conquer seems to be the new old. https://lnkd.in/eNqMB8ma