Lawsuits looming against ECB’s climate policy, expert says
Banks could go to court over imposition of daily fines related to environmental prudential rules
Banks may already be suing the European Central Bank over its policy of penalising institutions that fail to comply with its climate risk management guidelines, a legal expert tells Central Banking.
The ECB revealed in March that it had issued 31 binding decisions to “potentially” impose periodic penalty payments (PPPs) on banks that did not adhere to prudential requirements for climate-related and environmental risks.
PPPs are daily recurring financial charges that could amount to up to 5% of a
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