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Nature stress test: Assessing exposure of five African banking systems
This report evaluates nature-related financial risks for banking systems in Ghana, Mauritius, Morocco, Rwanda, and Zambia. It demonstrates that an orderly transition to nature-positive practices significantly reduces profit and credit losses. Key sectors like agriculture and mining are most vulnerable, requiring coordinated regulatory and financial action.
Living in a world of disappearing nature: Physical risk and the implications for financial stability
This European Central Bank report analyses the financial stability risks of biodiversity loss in the euro area. It reveals that 75% of corporate loans are highly nature-dependent. Under adverse scenarios, potential bank losses from ecosystem degradation could nearly triple compared to sustainability-aligned pathways.
Nature-related financial risks: A conceptual framework to guide action by central banks and supervisors
This NGFS report provides a conceptual framework for central banks and supervisors to assess nature-related financial risks. It defines physical and transition risks and outlines a three-phase approach for risk identification, economic assessment, and financial system impact. Illustrative cases on the Amazon and Colorado River demonstrate the framework’s application.
Historical climate and future projection in the North Atlantic and Arctic: Insights from EC-Earth3 high-resolution simulations
This research evaluates high-resolution EC-Earth3 climate simulations for the North Atlantic and Arctic. Findings indicate improved representation of global temperatures but reveal a projected ice-free Arctic by 2040 and a 39% AMOC weakening by 2100. A new framework identifies the Labrador Sea as the primary driver of AMOC reduction.
Too hot to grow: The economic costs of extreme heat
This Allianz Research report examines the economic impact of extreme heat, highlighting a sevenfold increase in heat stress events since the 1980s. It details non-linear productivity losses above 30°C, stagflationary macroeconomic risks, and significant fiscal burdens, proposing a three-pillar adaptation plan to improve labour, infrastructure, and financial resilience.
Compendium of nature-related insurance products and guidance for insurers and policymakers
This report examines the intersection of nature and insurance, analysing 47 global case studies. It identifies an increasing trend in nature-related products, primarily focusing on risk transfer. Key findings highlight the necessity for improved data, cross-sector collaboration, and the integration of risk reduction to ensure long-term viability.
Traditional ecological knowledge for climate change adaptation and disaster risk reduction in Fiji
This report examines Traditional Ecological Knowledge (TEK) in Fiji as a cost-effective, sustainable tool for climate change adaptation and disaster risk reduction. It details how the iTaukei people use traditional housing, food preservation, and early warning systems to enhance community resilience against cyclones, floods, and rising sea levels.
El Niño Heat Mortality Tracker
The El Niño Heat Mortality Tracker projects heat-related deaths at a state and provincial level. Developed by the Climate Impact Lab, it helps users visualise the human toll of extreme temperature events to inform risk assessment and public health strategies.
SIPRI Arms Transfers Database
The SIPRI Arms Transfers Database tracks international transfers of major conventional weapons from 1950 to the present. It helps finance professionals assess geopolitical risk and monitor the global defence market through consistent data on arms flows and procurement.
The East and Southeast Asia green central banking scorecard series
This benchmark series assesses the integration of environmental considerations into the policies of thirteen central banks and financial supervisors across East and Southeast Asia. Evaluating the ASEAN Plus Three grouping, it provides a factual framework for tracking regional progress and identifying leadership in the development of green finance strategies.
Confronting the insurability crisis: A new framework for natural hazard insurance
Finance Watch details a growing insurability crisis in Europe, where around three quarters of extreme weather losses remain uninsured. The report proposes a new framework, including mandatory public-private insurance schemes and a systemic risk capital buffer, to address protection gaps and incentivise risk reduction through harmonised regulatory standards.
From chemical risk to competitive advantage: What BPA, PFAS, phthalates, and microplastics teach sustainability leaders about anticipating the next chemical of concern
This report examines the transition of BPA, PFAS, phthalates, and microplastics from beneficial chemicals to substances of concern. It identifies recurring risk signals, such as biological activity and persistence, providing a framework for sustainability leaders to anticipate future regulatory shifts and lead through proactive, safer material innovation.
Investing in Resilience: Building an insurance-centric framework for resilience investment
Carlyle and Marsh introduce an insurance-centric framework to incentivise resilience investment. It addresses structural barriers preventing the recognition of risk reduction in underwriting, offering a four-step protocol to translate documented measures into tangible financial benefits, such as lower premiums, reduced deductibles, and improved asset durability.
Cooler laws, safer workers: Evaluating California’s heat standard and injury reduction
This research evaluates California’s 2005 heat illness standard, finding it substantially reduced work-related injuries in high-risk sectors like construction, agriculture, and transportation. Reductions of 15% to 27% were documented, with the most significant impacts occurring during extreme heat and amongst younger workers.
Navigating physical climate risk in fixed income
This joint primer examines physical climate risks in fixed income, highlighting the disclosure deficit in private credit and the analytical mismatch between climate models and debt maturities. It outlines how hazards impact credit fundamentals through insurance disruption and supply chain contagion, providing a due diligence framework for investors.
Financing Asia’s National Adaptation Plans: An assessment of the region’s adaptation plans against investors’ expectations
This benchmark report evaluates the alignment of national adaptation planning across nine Asian markets with investor expectations. Produced by the Asia Investor Group on Climate Change, it highlights progress and gaps in climate risk information and project pipelines to help unlock private capital for regional resilience.