Empirical evidence suggests that countries whose level of national debt exceeds a certain threshold are also characterised by comparatively lower growth: Reinhart and Rogoff (2010), analysing a dataset which spans the last few centuries and comprises several dozen countries, show that, for those countries with a government debt-to-GDP ratio of over 90%,  16  See in particular Christiano et al. (1999).
*** Such large-scale investments require the mobilization of various funding sources: from bank lending capital markets and public funds. Banks are still the main source of financing for European enterprises. As supervisors, we encourage them to: systematically assess disclose and manage the climate risks in their portfolios.