On 19 June 2024, the Network for Greening the Financial System (NFGS) issued the second edition of its guide on climate-related disclosure for central banks.

The main objective of the guide is to offer practical support and inspiration to central banks that are taking their first steps in climate-related disclosure. It also provides insights for those banks that are already at an advanced state.

The guide is organised around four thematic areas (Governance, Strategy, Risk management, and Metrics and targets) and introduces a distinction between “baseline” and “building block” disclosure recommendations.

The updated edition of the guide builds on experience gathered by NGFS members and includes a new chapter on metrics and targets to align the guide’s structure with the four-pillar framework of the Task Force on Climate-Related Financial Disclosures. It also now covers disclosure on institutional functions (i.e. monetary policy, supervision and financial stability) and provides additional support on the disclosure of internal operations.

Dr Sabine Mauderer, Chair of the NGFS, Member of the Executive Board of the Deutsche Bundesbank:

“Disclosing climate-related risks is key to understanding and ultimately managing them successfully. By disclosing their own climate-related risks and opportunities, central banks can encourage others to follow suit. Meaningful climate-related disclosure in turn requires rigorous measurement and clear targets. Therefore, this updated report with its additional chapter on metrics and targets is a valuable resource that benefits from the NGFS’ work on other issues, especially sustainable and responsible investment.”