Another key finding was that banks need to invest more in climate-relevant data collection and become less dependent on the use of proxies. The findings from the Thematic Review11 told a similar story. Whilst progress has been made by banks to better understand how climate risks impact their business models, their strategies do not address all risks comprehensively.
I hope that this description of an FOMC meeting conveys two things. First, the meeting participants view monetary policy as a largely technocratic exercise that is fundamentally apolitical. As I mentioned earlier, our policy discussions are largely based on informationgathering and model analyses by meeting participants and their staffs.