Schatz Statement On Fed Request To Join Network For Greening The Financial System

WASHINGTON – U.S. Senator Brian Schatz (D-Hawai‘i), a member of the Senate Banking Committee and Chair of the Special Committee on the Climate Crisis, today released the following statement on the Federal Reserve's request to join the Network for Greening the Financial System, a coalition of central banks and bank supervisors from around the world working to manage climate risks. Earlier this week, the Fed also discussed climate risks for the first time in its financial stability report.

“These are important steps forward, but there is more the Fed needs to do—like incorporating climate risks into its supervision of financial firms, and stress testing big banks for climate risks.

“Climate change poses systemic risks to our financial sector and economy. Our financial regulators’ job is to ensure a stable and efficient financial system, and that means managing these risks. While we are making some progress, we’ll continue working with the Fed to strengthen our financial institutions’ resilience to climate risks.”