ECB to Challenge Banks on View of Climate Risks, Elderson Says

The European Central Bank is preparing to challenge lenders in the region on their view of how much risk they face from climate change and may impose individual requirements for those found to be most exposed.

The ECB is examining assessments by 112 relevant big lenders on whether they meet expectations its supervisory watchdog set out in November, according to Frank Elderson, an executive board member at the central bank.