A chilly reception for climate risk capital

Bankers don’t believe climate-adjusted risk-weights will enter EU prudential framework – not for now, at least

Just as polar ice caps are receding, so are the chances of European lawmakers adopting a radical proposal to force banks to hold punitively high levels of capital against carbon-intensive loan portfolios.

The plan is part of a wider package of amendments to the European Union’s capital regime tabled by members of the European Parliament. But bankers and consultants believe that the idea is unlikely to pass into law when the final rules are adopted in a little over two years’ time.

“It’s quite

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

If you already have an account, please sign in here.

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: