Finance

Bank Watchdogs Urged to Pay More Attention to Climate Risk

A eucalyptus and pine forest burned by wildfires in Argentina.

Photographer: Sebastian Lopez Brach/Bloomberg
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The international organization that monitors the global financial system urged supervisory authorities to pay more attention to climate risk.

In a report published on Friday, the Financial Stability Board said that “supervisory and regulatory risk assessments and policies need to better incorporate understanding of the channels through which climate-related risks to financial institutions may be transferred across sectors or borders.”