Central bankers must grapple with climate complexity, panel says

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Central banks face an uphill struggle dealing with the complex risks to monetary and financial stability created by climate change, a panel of experts said today (May 9).

Many central banks are developing climate stress tests, while also trying to promote better market pricing of the risks. They may also potentially adjust their own operations to better account for climate change-related risks.

“These are complex issues,” said Audun Grønn, special adviser to the governor at Norges Bank.

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