Global central banks should take a leap in fighting climate change, offering to use their core business of monetary policy to drive the financial sector’s green transition.
That’s the conclusion of the Network for Greening the Financial System, a group of 89 central banks and supervisors that includes the U.S. Federal Reserve and the European Central Bank. It outlined options on how the institutions can prod nations to lower carbon emissions, including adjusting credit operations to shifting collateral policies and asset-purchase programs.
