Frank Elderson: The role of supervisors and central banks in the climate crisis

Keynote speech by Mr Frank Elderson, Member of the Executive Board of the European Central Bank, at the 31st Lisbon meeting between the central banks of Portuguese-speaking countries, Frankfurt am Main, 19 October 2021.

The views expressed in this speech are those of the speaker and not the view of the BIS.

It is my great pleasure to be with you today on the occasion of the 31st Lisbon meeting between the central banks of Portuguese-speaking countries.

Today I would like to talk to you about the climate crisis and climate finance. Specifically, I would like to talk about the role that central banks and supervisors can and must play in leading by example and incorporating climate and environmental risks into our activities, both in a systematic manner and with a long-term perspective.

When preparing my remarks today, Fernando Pessoa's poem "Mar Português" was brought to my attention. It alludes to the Portuguese maritime odyssey, to how daring and how daunting it was to venture into unknown seas. I was thinking it offers an encouraging frame for the climate change venture in the way that it sets great undertakings against the courage required to face what seem to be unsurmountable challenges, and the great achievements that follow.