Dikau, Simon, Robins, Nick, Smoleńska, Agnieszka, van 't Klooster, Jens and Volz, Ulrich (2024) 'Prudential Net Zero Transition Plans: The Potential of a New Regulatory Instrument.' Journal of Banking Regulation. (Forthcoming)
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Abstract
Net zero transition plans are a promising additional instrument for prudential supervisors to assess, address and bring distant financial risks into the present. To date, transition plans have primarily emerged as non-financial disclosure requirement and as such, their prudential application has been limited. In this article, we discuss the role that transition plans can play as a new regulatory tool in banking supervision. The article outlines steps towards incorporating transition plans into prudential policy, thereby enabling supervisors to effectively use transition plans as a forward-looking instrument to better manage and overcome some of the challenges associated with climate transition risks.
Item Type: | Journal Article |
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SOAS Departments & Centres: | Departments and Subunits > Department of Economics School Research Centres > Centre for Sustainable Finance |
ISSN: | 17456452 |
DOI (Digital Object Identifier): | https://doi.org/10.1057/s41261-024-00247-w |
Date Deposited: | 15 Apr 2024 17:11 |
URI: | https://eprints.soas.ac.uk/id/eprint/41730 |
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