This is precisely one of our focus areas in the upcoming thematic review on C&E risks. Supervisory roadmap for C&E risks For several years, the ECB has identified banks’ exposure to C&E risks as one of the main vulnerabilities in the European banking sector.
Assessing and helping banks address risks stemming from climate change and environmental degradation will be one of our supervisory priorities from now until 2024, albeit these risks have been on our minds for far longer. I remember giving my first speeches on this topic in late 2015 when still an executive board member of De Nederlandsche Bank.