Managing Nature-Related Financial Risks: A Precautionary Policy Approach for Central Banks and Financial Supervisors

2020 ◽  
Author(s):  
Katie Kedward ◽  
Josh Ryan-Collins ◽  
Hugues Chenet
Keyword(s):  
Central Banks ◽  
Financial Risks ◽  
Financial Supervisors

scholarly journals The potential contribution of central banks to green finance

2019 ◽  
Vol 88 (2) ◽  
pp. 55-71
Author(s):  
Andreas Breitenfellner ◽  
Wolfgang Pointner ◽  
Helene Schuberth
Keyword(s):  
Financial Stability ◽  
Global Economy ◽  
Political Action ◽  
Financial System ◽  
Central Banks ◽  
Green Economy ◽  
Potential Contribution ◽  
Green Finance ◽  
Financial Supervisors ◽  
Smooth Transformation

Summary: Central banks and financial supervisors approach ‘green finance’ mostly to preserve macroeconomic and financial stability according to their mandates. Obviously, climate change poses severe risks to households, firms and their financial intermediaries. These risks tend to be correlated and their scope goes beyond historical evidence, therefore their impact on the financial system is difficult to model. On the other hand, the planned decarbonization of the global economy creates enormous investment opportunities. Central banks and supervisors play a role in safeguarding the financial system’s smooth transformation from funding old, brown industries to funding a new green economy. The ‘Network for Greening the Financial System’ facilitates an exchange of experience and ideas among central banks and financial supervisors; we present some of their findings. While central banks can and should contribute to making the economy and the financial system more sustainable, they can only complement, but not substitute for, decisive political action by governments.

About the Growing Role of Green Finance in Providing Financial Stability

2020 ◽  
pp. 83-95
Author(s):  
Mikhail V. Ershov ◽  
Anna S. Tanasova ◽  
Elena Yu. Sokolova
Keyword(s):  
Financial Stability ◽  
Large Scale ◽  
Climatic Factors ◽  
Active Role ◽  
Central Banks ◽  
International Standards ◽  
Financial Risks ◽  
Green Finance ◽  
Long Time

The number of natural disasters which negatively influence the economy has increased in recent years. The solution of the problems linked to the climatic factors for a long time had been put to international level and different regulators implement numerous initiatives, work out international standards, etc. Changes in the production which affect all countries and all spheres of economy require large scale financing which has significant risks. That’s why 36 central banks and supervisors acknowledged climate-related risks are a source of financial risks and which falls within the mandates of central banks and supervisors to ensure the financial system is resilient to these risks. The article revises the international initiatives in which central banks and supervisors participate for better interaction of financial sphere and green economic. The challenges evolve are analyzed. Adequate estimation of financial risks is hampered by many difficulties (shortage of comparable information, lack of financial instruments, etc.). The financial aspects of green economic in Russia are analyzed. Russian regulators are inactive in international initiatives that form regulatory approaches with allowances of climate factor. The investment in green economic is insignificant. Taking ecologic factor in processing is necessary to enhance competitiveness. It is made the conclusion about the importance of taking more active role of Russian regulators in international initiatives at the starting stage when the functioning of green economic and green finance is shaping. It’s obvious that such participation should promote the interests of Russia that will lay basis of its important role in this growing sphere for many years to come.

South-east Asia local currency cooperation will grow

2017 ◽  
Keyword(s):  
Bilateral Trade ◽  
East Asian ◽  
Central Banks ◽  
Financial Risks ◽  
South East Asia ◽  
Asian Countries ◽  
Content Type ◽  
Local Currency ◽  
External Stresses ◽  
Trade And Investment

Subject Cooperation between South-east Asian countries on currencies. Significance Central banks in Indonesia, Malaysia and Thailand have agreed to promote the use of their currencies in bilateral trade and investment transactions, as part of efforts to shield the region from heightened global financial risks. Separately, ASEAN members will extend currency swap arrangements with economic partners China, Japan and South Korea. Impacts Collaborative market interventions will not prevent further loss of value for the major ASEAN currencies in 2017. All ASEAN economies can withstand external stresses until markets stabilise, probably after Trump's policy plans are clarified. Reforms of regional liquidity facilities and swap arrangements will give vulnerable countries speedier emergency funding access.

At the final stage of the global crisis: Economic tasksin 2017-2019

2018 ◽  
pp. 5-29 ◽  
Author(s):  
V. A. Mau
Keyword(s):  
Economic Growth ◽  
Final Stage ◽  
Government Regulation ◽  
Inflation Targeting ◽  
Social Dynamics ◽  
Growth Stimulation ◽  
Central Banks ◽  
Economic Area ◽  
National Trends

The paper deals with the global and national trends of economic and social development at the final stage of the global structural crisis. Special attention is paid to intellectual challenges economists will face with in the post-crisis world: prospects of growth without inflation, new global currencies and the role of cryptocurrencies, central banks independence and their role in economic growth stimulation, new tasks and patterns of government regulation, inequality and growth. Special features of Russian post-crisis development are also under consideration. Among them: prospects of macroeconomic support of growth, inflation targeting, new fiscal rule, social dynamics and new challenges to welfare state. The paper concludes that the main obstacles for economic growth in Russia are concentrated in the non-economic area.

Macroprudential Policy Instruments of Central Banks

2012 ◽  
pp. 32-47
Author(s):  
S. Andryushin ◽  
V. Kuznetsova
Keyword(s):  
Systemic Risk ◽  
Financial Stability ◽  
Financial System ◽  
Policy Instruments ◽  
Central Banks ◽  
Macroprudential Policy ◽  
Policy Studies ◽  
The Future ◽  
Financial Cycles

The paper analyzes central banks macroprudencial policy and its instruments. The issues of their classification, option, design and adjustment are connected with financial stability of overall financial system and its specific institutions. The macroprudencial instruments effectiveness is evaluated from the two points: how they mitigate temporal and intersectoral systemic risk development (market, credit, and operational). The future macroprudentional policy studies directions are noted to identify the instruments, which can be used to limit the financial systemdevelopment procyclicality, mitigate the credit and financial cycles volatility.

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