NGFS Central Bank Climate Disclosure


On Jun. 19, NGFS issued second edition of climate disclosure guide.


  • NGFS published second edition of guide on climate-related disclosure for central banks.
  • Follows NGFS Dec. 2021 guide on climate disclosure for central banks, see #123965.
  • Overview
  • Like the inaugural 2021 edition, this revised version of the guide calls on central banks to lead by example by disclosing their climate-related risks and opportunities.
  • Greater transparency about climate-related issues supports a sounder management of these risks, and is essential to foster the transition to a sustainable economy.
  • Thematic Areas
  • Updated guide focuses on 4 key thematic areas from task force on climate-related financial disclosures (TCFD): governance/strategy/risk management/metrics & targets.
  • Expands on original TCFD recommendations to offer supplementary tailored guidance.
  • Governance: disclose institutional climate-related objectives, decision-making process of central bank and climate-related governance structures for specific areas, functions.
  • Strategy: disclose climate-related impacts related to central bank as well as strategy - in terms of adaptation, capacity building, communication - for handling these impacts.
  • Risk management: disclose the processes for managing climate-related risks at the central bank, focusing on identification, assessment, and integration.
  • Metrics and targets: disclose metrics, targets relating to central bank’s management of climate-related risks and exposure to climate-related risks and opportunities.
  • Further Updates
  • Detailed disclosures: recommendations tailored based on the varying circumstances of central banks, including mandates, disclosure obligations, and resources.
  • Foundational vs. complementary: guide categorizes recommendations as foundational (basic) or complementary (additional), recognizing diverse needs among central banks.
  • Network for greening the financial system (NGFS) experience: 2nd edition leverages NGFS's expertise to enhance climate-related financial disclosures for central banks.
  • Includes new section on metrics and targets; NGFS's work on sustainable investment.
  • Internal operations: revised guide provides additional support for disclosing internal operations, focusing on green practices within central banks.
  • Covers disclosure in key areas like monetary policy, supervision, and financial stability.
  • NGFS will build on guide to further strengthen role as forum for central banks to share their practical experiences, and will support in enhancing climate-related measures.

Regulators NGFS
Entity Types Bank
Reference Gd, PR, 6/19/2024; ESG
Functions C-Suite; Environment; Financial; Operations; Reporting; Risk
Countries Global Regulator
Category Global Standards Body
State
Products Banking
Regions Global
Rule Type Guidance
Rule Date 6/19/2024
Effective Date 6/19/2024
Rule Id 216274
Linked to Rule :123965
Reg. Last Update 6/19/2024
Report Section International

Last substantive update on 06/21/2024