Is the Current Macroprudential Framework Fit for Climate Systemic Risk?
Pierre Monnin | 13 November 2022
Monetary,
Blog | Tags:
Central Banks,
Climate Risks,
Financial Stability,
Macroprudential Policy,
Systemic Risks Climate change and the transition to a low-carbon economy have a clear systemic dimension, and they potentially pose a systemic risk for the financial sector. This has been highlighted by several international and national financial authorities and urgently needs to be addressed.
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“If Something Cannot Go on Forever, It Will Stop“
William White | 1 April 2021
Fiscal,
Monetary,
Policy Briefs | Tags:
Covid-19,
Debt,
Democracy,
Environment,
Financial Stability,
Health Systems,
Inequality,
International Cooperation,
Resilience “If something cannot go on forever, it will stop.” This famous observation was made by Herb Stein, Senior Fellow at the American Enterprise Institute. It became famous largely because it was just that, obvious. Yet, what is no less obvious is that public policy is
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Financial Stability and Inequality: A Challenge for Macroprudential Regulation
Pierre Monnin | 5 June 2018
Monetary,
Blog | Tags:
Central Banks,
Financial Regulation,
Financial Stability,
Inequality,
Macroprudential Policy The global financial crisis shed new light on the role that central banks play for financial stability. In response to the financial turmoil, central banks took radical action to stabilize the financial system, by providing liquidity to banks and buying up financial assets. Following these
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Climate Change Adds to Risk for Banks, but EU Lending Proposals Will Do More Harm Than Good
Arnoud Boot and
Dirk Schoenmaker | 17 January 2018
Monetary,
Blog | Tags:
Climate Change,
Financial Stability,
Macroprudential Regulation Climate change is a relevant risk factor for the banking sector, but the European Commission's plan to lower capital requirements for greener investments is irresponsible in encouraging banks to forego proper risk management.
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Is It Time To Take Away The Carbon Punch Bowl?
Josh Ryan-Collins | 5 September 2017
Monetary,
Blog | Tags:
Climate Change,
Financial Stability,
Macroprudential Policy Climate change poses serious financial risks. Perhaps the biggest systemic risk is a disorderly transition to a low carbon economy. As noted in the Bank of England’s ‘response to Climate Change’, current forecasts suggest that to keep global average temperatures below 2 degrees, around two-thirds of
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