However, their results “suggest overall costs will be lowest with early, well managed action to reduce greenhouse gas emissions and so limit climate change”. Closer to home, Australia’s prudential regulator launched their climate vulnerability assessment last year, with results set to be revealed later this year.
One of them indicates that countercyclical capital buffers may have null or negative effect, while another demonstrates the bearing from capital surcharges on systemically important financial institutions not to be significant. 6 A third group of research, based on individual countries, indicates immaterial or adverse influence on credit expansion from applying certain tools.