The Network for Greening the Financial System (NGFS)
acknowledges that climate-related and environmental risks
are a source of financial risks and that central banks and
supervisors should therefore ensure that the financial system
is resilient to these risks. In its first comprehensive report
“A Call for Action” (NGFS, A call for action – Climate change as
a source of financial risk, 2019) the NGFS recommended the
integration of climate-related risks into micro-prudential
supervision. Following up on this, and based on supervisors’
current practices, this guide sets out five recommendations
for members of the NGFS as well as the broader community
of banking and insurance supervisors to integrate climaterelated
and environmental risks into their work. Its aim is to
offer supervisors the inspiration needed to accelerate their
own efforts in this area, while giving them the flexibility
to accommodate their own specific needs, tailor actions
to their mandates and make progress at their own pace.