Wavestone’s Post

Some great insights from our Swiss Colleagues on Global Banks and Net Zero, covering some of the biggest financial institutions here in the UK and abroad. Really highlighting the challenges and issues currently facing banks on providing effective disclosures that can facilitate a meaningful comparison. Link to the report, would absolutely recommend downloading the full survey and setting some time apart to read https://lnkd.in/dufTGygAn

Banks rolling back climate pledges, refusing to step up on leadership, making excuses and resetting temperature targets to catastrophic levels (we see you Morgan Stanley) featured in The Banker by Anita Hawser . Well worth the read as we close up 2024 and get rested to redouble efforts in 2025. #climatefinance #esg Citi RBC Goldman Sachs https://lnkd.in/gyyN_5kX

#SUERFpolicybrief “On the near-term macro-financial risks of the low-carbon transition and climate change” by Laura Nowzohour (European Central Bank) and Stephane Dees (Banque de France) Climate change is one of the most pressing current policy challenges. Notwithstanding the fundamental uncertainty surrounding its underlying processes, there is mounting scientific evidence that the world might surpass an increase in global temperatures (compared to pre-industrial times) of 1.5 degrees Celsius already within the next five years. It is thus of utmost importance that policymakers get a sense of the short-term impact of climate change and mitigation policies and how they interact with cyclical factors and pre-existing vulnerabilities amid this uncertainty. This is what the Network for Greening the Financial System (NGFS) purports to deliver with its short-term scenarios. Five different narratives are proposed to underpin the dynamics associated with different transition and physical impacts over the next 3-5 years. https://lnkd.in/d6AwzCXM #NGFS #ClimateScenarios #ClimateChange #TransitionRisk #PhysicalRisk

Major Banks Leave UN Climate Alliance: Threat to Jobs and Economy? #alternativefinancingmodels #Americanjobsandprosperity #climatechangepolicies #economiccompetitiveness #economy #fightagainstclimatechange #globaleconomicpolicy #HouseJudiciaryCommitteeChairmanJimJordan #joblosses #majorbanks #ParisAgreement #privatesector #privatesectorfunding #radicalclimatepolicies #UNClimateChangeAlliance

Carbon pricing and international carbon markets play a significant role in global efforts to mitigate climate change by providing economic incentives for emission reductions and fostering cooperation among countries and entities. However, addressing the challenges and ensuring the effectiveness and fairness of these mechanisms will be critical in achieving long-term climate goals. Here is the World Bank reports on carbon pricing and international carbon markets, providing insights into the state and trends of these mechanisms globally. #worldbank

🌍 Introducing ESGnomics Edition 8: The Impact of Climate Change on Monetary Policies While it is challenging to precisely measure the impact of climate change on the planet and on human activities, increased numbers of extreme events will very certainly cause heavy economic damage. What impact will this have on monetary policies? 👉 To find out more, read the latest analysis by our Chief Economist Marc-Antoine Collard

FSB Americas Group discusses macroprudential frameworks, climate risks, digital payments and operational resilience https://buff.ly/4dKR0ri #FSB #macroprudential #climaterisks #digitalpayments

Nearly 95% of all historical spending on climate change has been dedicated to prevention and mitigation. However, with the climate effects escalating in severity, we must pivot to a focus on long-term adaptation. Thanks to their unique position as lenders with a rich history of assessing climate impact, banks can serve a crucial role in helping companies advise on and fund projects related to climate adaptation. Banks that apply their data and evolve their services to help companies address climate change can benefit in what is shaping up to be a multi-trillion-dollar market. In BCG's latest article, "Leading Banks Are Shifting from Assessing Climate Risks to Helping Clients Address Them," Amine Benayad, Andrea Castoldi, Veronica Chau, Mehdi Ifourah, Giovanni Lucini, and Annika Zawadzki expound on the power that banks hold in climate action. Read here: https://lnkd.in/eB2QFa8V #GreenFinance #ImpactInvesting

Get familiar with the key challenges facing policymakers ahead of this year’s #IMF and #WorldBank spring meetings, including #foodsecurity, global instability, and gaps in climate finance Read the latest paper from #Nexus25:

Climate scenarios used in central bank stress tests contain a major gap, according to this research paper from Stefano Battiston and Irene Monasterolo for the Inspire network. The paper “Enhanced Scenarios for Climate Stress-tests” says that current scenarios fail to account for feedback effects from the financial system, investors’ expectations, and policy credibility in realising the scenarios. To address this, the authors propose a new generation of enhanced climate scenarios which capture the “endogeneity of climate risk”. Read more >> GreenCB.co/3VmGGil