This paper empirically estimates the material demand requirements for so-called ‘transition-critical materials’ (TCMs) implied under two climate scenarios and finds potentially serious supply ‘bottlenecks’ for three materials – copper, lithium and nickel – which are exacerbated if the transition is delayed. Read more
A new global framework for the protection of nature was adopted at COP15, with material targets for 2030. This commentary outlines their particular relevance for the financial sector and its efforts to halt nature loss. Read more
The impacts of biodiversity loss call for urgent and transformative changes to economic and financial systems. This paper discusses the need to extend the scope of central banks’ approach to the environmental crisis. Read more
This Final Report provides the conclusions of the NGFS-INSPIRE Study Group on Biodiversity and Financial Stability on the scale of the threats from 'biodiversity-related risk' to the global financial system, reviews the actions that central banks, supervisors and other financial actors are already taking in response, identifies policy options for evaluating and mitigating financial risks arising from biodiversity loss and makes recommendations for near-term action. Read more
Biodiversity loss poses a significant and under-appreciated threat to financial stability, and central banks and financial supervisors should act to confront nature-related risks, according to a new report published today (24 March 2022) by a group of central bankers, financial supervisors and academic researchers. Read more
Building on the outcomes of COP26 will be critical to achieving a sustainable financial system, say Nick Robins and Danae Kyriakopoulou, as they highlight 10 areas of opportunity to be seized this year. Read more
Nick Robins and Ma Jun examine how the financial sector should respond to the global biodiversity crisis, which, with climate change, is threatening the global economy. Read more
This report is intended as a stocktake of the current context for central bank and financial supervisory action on biodiversity loss. It sets out the state of understanding on the linkages between biodiversity-related risks and financial stability, provides examples of emerging central bank and private finance activity, and identifies key themes, challenges and open questions. Read more
A toolbox for central banks and financial supervisors of options to align their COVID-19 crisis response measures with climate and sustainability objectives and mitigate potential sustainability risks, updated with new analysis. Read more
Central banks have so far not made the connection between their substantial COVID response programmes and their deepening commitment to action on climate change, according to a new report published today (November 23rd). Read more