Climate-related and environmental risks: report on the thematic review and examples of good practices
Today we are releasing two important publications under the aegis of the ECB: the Results of the 2022 thematic review on climate-related and environmental risks and a compendium entitled Good practices for climate-related and environmental risk management.
The first report sets out the findings and results of a review of banks in the Eurosystem in the area of climate-related and environmental risk management. The review covered 107 significant banks and 79 smaller banks, including several Slovenian banks. The aim of the review was evaluating the soundness, comprehensiveness and effectiveness of key bank policies and processes in the management of climate-related and environmental risks. The report concludes that over the last year banks have to a great extent made suitable changes to their organisational structures to be prepared to address climate-related and environmental risks. The second major finding is that the consideration of these risks in their actual business varies greatly from bank to bank.
The compendium presents 26 examples of good practice by banks to serve as a model and support for banks in their consideration of climate-related and environmental risks in their business.