Extract

Climate change represents the most significant, and by far most dangerous, challenge our planet is facing. Consequently, the banking sector – as financier of the real economy – needs to take this systemic risk category, which has been largely ignored by most banks up to now, into account. Bank supervision plays a key role in making sure that the risk management of banks adjusts appropriately. But climate change also stands for financial opportunities arising from those large investments necessary to adjust our economies. Andreas Dombret supported Mark Carney, who first addressed these issues; spearheaded the initiative for sustainable, greener finance in Germany; and helped promote the concept in other euro zone countries.