These will give you an idea of what activities may be subsidized, forbidden or downgraded. Between 2009 and 2015, for example, Moody’s cut the average credit rating of European power utilities by three notches, partly because of environmental risk. Next year in Beijing, an international Biodiversity Treaty will be signed. So, integrating ESG factors is no longer just for do-gooders.
Second, the implications of the new economy for the conduct of monetary policy are not clear-cut. Especially not in the transitional period to the new economy. What is clear, however, is that price stability will remain at the heart of central banking. Third, the ECB monetary policy strategy is well-suited to take the uncertainties surrounding the new economy into account in policy-making.