Interplay between the financial system and climate policy timing

By Fabio Zanchetta

Neglecting the endogeneity of risk, recent articles state that Centralbanks attention to climate risks is misleading .On Financial Times The Banker we clarify climate risk endogeneity and why it matters for financial stability based on Science Magazine art

Understanding and assessing where does climate risk for financial stability comes from is key for central banks’ mandate to preserve price stability. Nice overview of Ecb‘s climate strategy review here: https://www.ecb.europa.eu/home/search/review/html/climate-change.en.html