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.
In view of the transformation of risk management emphasis from heightening recognition of risks in the former Checklist to the recent actual control of risks, the overall structure of the Checklist has been altered from the eight categories by type of risk in the former Checklist (credit risk, interest rate risk, foreign exchange risk, liquidity risk, operations risk, electronic data processing [EDP] risk, systemic risk, and management risk) to four categories by type of operation (management and internal controls, lending operations, market operations and asset and liability management [ALM], and business operations and EDP).