Climate-related Financial Risks and Green Finance: Challenges and Opportunities

Centre for Banking Research hosts international conference on climate change finance

Climate change, shareholder activism and green investment were three of the topics discussed at this year’s International Workshop on Financial System Architecture & Stability (IWFSAS), hosted virtually by the Centre for Banking Research at the  Business School (formerly Cass).

Each year the IWFSAS facilitates discussions of high-quality research papers that inform the understanding of financial sector policies, and how they can affect the architecture and stability of financial systems and the economy. The conference provides a forum for academic researchers and policy makers to discuss issues related to the structure and design of financial systems, as well as their impact on growth and financial stability.

The conference, which took place across two afternoons, included sessions with academic experts from around world and culminated in a public panel discussion titled ‘Fostering a greener Europe: The role of institutions’.

The discussion was chaired by Professor Rym Ayadi, Founding President of the Euro-Mediterranean Economists Association (EMEA) and Honorary Visiting Professor at the Business School (formerly Cass), with panellists Andrea Beltramello, Cabinet Member of Vice-President Valdis Dombrovski from the European Commission; Alyssa Heath, Head of EU & UK Policy, Principles for Responsible Investment; and Misa Tanaka, Head of Research at the Bank of England.

The conference also hosted the Keynote address from Professor Beata Javorcik, Chief Economist, European Bank for Reconstruction and Development (EBRD) on ‘Can Foreign Investment Facilitate Green Transition?’

Other sessions explored the following areas:

  • Financial Frictions and Green Investments
  • Coordinated Engagements
  • How ESG strategies enhance bank stability during financial turmoil
  • Cultural norms and the Volkswagen Scandal
  • Climate Change Concerns and Mortgage Lending
  • Feeling the Heat: Climate Risks and the Cost of Sovereign Borrowing
  • Carbon home bias of European investors
  • Shareholder activism on climate change: Evolution, determinants and consequences
  • Physical Climate Change Risks and the Creditworthiness of Emerging Economies’ Sovereign Debt

Read more about IWFSAS.

Find out more about the Centre for Banking Research.