Key Regulatory Initiatives in Eu Sustainable Banking: Exploring Sustainability Risk Management in the Eu Banking Industry

By Alexandra-Cristina Hanganu

With temperature exhibiting a growing trend and posing threats to future generations, the Paris Agreement set a cap level of no more than 2 C for the temperature increase, emphasizing the need for cross-national participation to combat climate change. At the European level, the European Commission pledged to make Europe achieve carbon neutrality by mid-century. However, to deliver on its commitment, extensive financial support and engagement from both private and public-sector players were acknowledged as requisites. Therefore, through their funding mechanism, banks assumed a leading role in financing the transition to a green economy. However, a new challenge of systemic nature - i.e. ESG risks - emerged, gaining regulatory attention and subsequently triggering numerous regulatory reforms. Therefore, this study explores the current European regulatory environment addressing sustainability, aiming to identify whether such regulatory frameworks can be considered a strategic opportunity, or contrastingly, a strategic burden for credit institutions.

• Format: Paperback
• Language: English
• ISBN: 900454318X
• ISBN13: 9789004543188
• Release Date: August 2023
• Publisher: Brill
• Length: 68 Pages