Central banks supervise the monetary and financial system and hold the lever of “money issuance.” Money issuance, in turn, determines how much money is available and lending conditions. As such, central banks are key actors in building an environmentally conscious and climate-friendly financial system.
Yet central banks continue to ignore these issues in their operations and, in so doing, contribute to climate chaos.
To flip the script, Reclaim Finance is targeting three influential actors: the European Central Bank (ECB), the Banque de France and the Network for Greening the Financial System (NGFS).
The European Central Bank (ECB) is mandated to ensure the soundness and stability of the financial system. This will not be possible without the adoption of measures that allow for the immediate reduction of greenhouse gas emissions in the real economy and, in turn, reduce the exposure of financial actors to climate risks.