As part of its international financial cooperation, the Bank, in cooperation with other central banks, is strengthening its efforts to promote investment in climate-related financial products such as green bonds, with the aim of fostering the development of financial markets.
As well as being critical for the effective conduct of monetary policy - the Reserve Bank's primary function, and the one for which we are perhaps most often in the headlines - financial stability is also crucial for the transactions supporting economic activity to be efficiently facilitated, for savings to be channeled efficiently to the most productive investment destinations, and for risk to be transformed and borne by the parties best able to manage it.