Work is under way at the ECB
to integrate climate-related and environmental considerations into all its functions and responsibilities. In January 2021, the ECB set up a climate change centre to draw together the work on climate issues being undertaken in different parts of the Bank.
In the economic analysis area, the ECB is incorporating climate change into its macroeconomic models, forecasting methods and risk assessments.
In monetary policy and investment portfolios, the ECB coordinates a Eurosystem common stance to include climate change-related sustainable and responsible investment principles for its investment portfolios. Further, under its asset purchase programme, the ECB has invested in green bonds, heeding the need to avoid market disruption.
As regards financial stability, the ECB is working to identify the risks climate change may pose to the economy and the financial system.
Notable publications: