Louis Thompsett’s Post

The European Central Bank is increasing its commitment to fighting climate change with the release of its new "Climate and nature plan 2024-2025". This plan represents a big step in integrating climate considerations into the ECB's operations and policy framework. Read more about the ECB's roadmap for climate action in this article by ESG Today: https://lnkd.in/eA29Gemx #ClimateChange #ECB #ESG #SustainableFinance

The Network for Greening the Financial System (NGFS) has warned that the economic impact of climate change could be 2-to-4 times worse than previously anticipated. But critics says the models don’t consider tipping points and other key data, and the actual economic impact is likely to be far worse than projected. Read the analysis in Green Central Banking https://lnkd.in/gBVGNGuc.

“Why would we want to hire people who we have to reprogram? Because they came from the best universities, but they still don’t know how to spell the word ‘climate.’” Although the European Central Bank's (ECB) heightened endeavors to combat global warming are crucial, there's a concern that these efforts may inadvertently transform the bank’s green revolution into a cultural one, with staff who don’t support the battle being purged. https://lnkd.in/eJ-HmMHK Climate & Capital Media Climate Group POLITICO, POLITICO Europe Christine Lagarde #climate #climatefinance #climateinvesting #climateinvestment #climateeconomy #esg #esgcompliance #esgdata #esginvesting #esgintegration #esgstrategy #esgfinance #europeanbank #europeanunion #europeancommission #europeanfinance #europemarket

“Why would we want to hire people who we have to reprogram? Because they came from the best universities, but they still don’t know how to spell the word ‘climate.’” Although the European Central Bank's (ECB) heightened endeavors to combat global warming are crucial, there's a concern that these efforts may inadvertently transform the bank’s green revolution into a cultural one, with staff who don’t support the battle being purged. https://lnkd.in/eJ-HmMHK Climate & Capital Media Climate Group POLITICO, POLITICO Europe Christine Lagarde  #climate #climatefinance #climateinvesting #climateinvestment #climateeconomy #esg #esgcompliance #esgdata #esginvesting #esgintegration #esgstrategy #esgfinance #europeanbank #europeanunion #europeancommission #europeanfinance #europemarket

A new report from Climate X, a leader in climate risk data analytics, has shed light on a critical issue facing the global banking sector: the widespread failure to adequately prepare for climate-related disruptions. The report, titled 'The Top 50 Banks in the World Tackling Adaptation (2024)', comes at a time when the financial sector is grappling with the increasing impacts of climate change on global economies. The study, which ranks 50 of the world's largest commercial banks on their climate adaptation maturity, reveals that a staggering 88% of these institutions are falling short in their efforts to climate-proof their operations and those of the businesses they finance. "The study highlights significant regional disparities in climate adaptation engagement. European and UK banks, influenced by more stringent regulatory frameworks, performed better on average than their counterparts in North America and Australia." #climateadaptation #climateaction #resilience #climaterisk #banking #finance #ClimateWeek #AdaptationLeader FinTech Magazine Louis Thompsett

Our joint report with WWF's Greening Financial Regulation Initiative is featured in Green Central Banking! The European Central Bank's collateral framework must address not only climate risks but also broader threats like nature and biodiversity loss 🌍. https://lnkd.in/eSRknet2 #climate #biodiversity #nature #climaterisks #environment #environmentalpolicy #ecb #centralbanks #monetarypolicy

While all businesses are likely to be impacted by transition risks, certain sectors are more likely to be affected than others. Financial institutions may face risks if their portfolios include high-carbon assets that experience devaluing due to climate-related policies and market shifts. A 2023 survey conducted by Verdantix1 found that 15% of sustainability leaders at financial services firms expect damages of greater than USD 50 million at their firms from climate policy change risk. https://lnkd.in/dezAga3y

“You drown not from plunging into the water, but from staying submerged in it.” The importance of a sound integration of climate and nature related risk within the banking system is now becoming paramount. Regardless of any adaptation and mitigation actions already put in place by international regulators, we can rest assured that the climate crisis will show profound effects onto the economy and the ecosystem. The financial sector must be prepared for this change in order to orient financial flows in the right direction. Emerging from the climate and nature crises requires action, and the work that we are doing individually and collectively proves that we will not allow this to happen. #sustainablefinance #climate #nature #riskmanagement

A key element of a global central bank consortium’s climate risk analysis aims to project damage to global real income due to climate change effects. The metric is the Network for Greening the Financial System (NGFS)’s “damage function.” BPI’s analysis reviews the updated damage function and finds no basis for its projections. Read the new post from Gregory Hopper: https://lnkd.in/eRCP_Bii

As the US experiences devastating weather impacts this month, new analysis indicates that many Global Banks are still working on enhancing their own preparations for resilience in the face of Climate Change #financialservices #fintech #payments