As some top global banks scale back climate efforts, India is moving forward with mandatory rules for lenders to report and manage climate-related financial risks.
India’s central bank is close to finalising regulatory guidelines that will require banks and financial institutions to report and manage the risks they face from climate change, three sources with knowledge of the matter have confirmed.
The framework, under discussion since 2022, is expected to instruct financial entities to regularly disclose climate-related risks within their lending portfolios, including mitigation strategies and measurable targets. The aim is to improve transparency and help the financial system adapt to climate vulnerabilities.
According to the proposal, disclosures will be introduced on a voluntary basis starting from fiscal year 2027, with mandatory compliance from fiscal year 2028. India’s fiscal year runs from April to March.
In addition to disclosures, banks will be required to conduct periodic stress tests to evaluate the potential financial impact of adverse climate events, such as floods, droughts or extreme temperatures.
This initiative mirrors steps taken by countries such as the United Kingdom and Japan, which have made climate risk reporting compulsory in line with their commitments to a low-carbon economy.
The Reserve Bank of India’s move contrasts with the recent decisions of several leading global banks, including JP Morgan, Citibank, Morgan Stanley and HSBC, which have scaled back climate-related commitments. Analysts have suggested this trend may be influenced by the re-election of U.S. President Donald Trump, whose administration is widely seen as sceptical towards climate policy.
By advancing these regulations, India signals its commitment to integrating climate risk into financial governance, supporting green investment and safeguarding long-term financial stability.
Uzbekistan and the U.S. are preparing to launch a joint investment platform by the end of the year, alongside the creation of a new bilateral busin...
International air travel remains severely disrupted despite the ceasefire between the U.S. and Iran announced on Wedn...
Lebanon’s Hezbollah said it had stopped firing on northern Israel and Israeli forces on Wednesday as part of a two-week ceasefire in the Midd...
Pakistan’s Prime Minister Shehbaz Sharif said Iran and the United States, along with their allies, have agreed to an immediate two-week cease...
Trade discussions between China and the U.S. are expected to remain virtual for now, with no major investment initiat...
Uzbekistan and the U.S. are preparing to launch a joint investment platform by the end of the year, alongside the creation of a new bilateral business council aimed at strengthening economic cooperation.
International air travel remains severely disrupted despite the ceasefire between the U.S. and Iran announced on Wednesday (8 April), leaving many passengers unable to reach their destinations after conflict-related cancellations at major Middle Eastern hubs including Dubai, Doha and Abu Dhabi.
Lebanon’s Hezbollah said it had stopped firing on northern Israel and Israeli forces on Wednesday as part of a two-week ceasefire in the Middle East brokered between the United States and Iran. However, a Hezbollah lawmaker warned that the pause could collapse if Tel Aviv does not adhere to it.
More than 94,000 people have been displaced in Afghanistan since late February due to cross-border fighting, the UN humanitarian agency OCHA said, while nearly 100,000 in Nuristan remain cut off from aid due to insecurity.
The crew of Artemis II mission are entering a pivotal phase of their journey, as they prepare to swing around the Moon and head back towards Earth. Now on the fifth day of their 10-day mission, the four astronauts are already witnessing views no human has ever seen.
U.S. President Donald Trump on Monday told reporters that Iran could be taken out in one night, "and that night might be tomorrow night," warning Tehran it had to make a deal by Tuesday night or face wider bombing raids.
U.S. President Donald Trump threatened Iran's "whole civilisation" on Tuesday in a post on social media. Meanwhile, the UN failed to reach an agreemement on a resolution aimed at reopening the Strait of Hormuz, after China and Russia used their vetoes.
As Hungary approaches a crucial vote, younger citizens who grew up under Prime Minister Viktor Orbán are increasingly backing the opposition, with some saying they may leave if he secures another term.
Iran has rejected a U.S.-backed ceasefire proposal, insisting any agreement must deliver a permanent end to the war, according to state media on Monday.
Major automakers showcased new electric vehicles at the New York Auto Show this week, under the slogan “electrification is the future." However, weakening demand in the United States and intense competition with China are raising questions for markets across the globe, including the South Caucasus.
The U.S. national average retail price of petrol rose above $4 a gallon for the first time in over three years on Monday (30 March), according to GasBuddy data, as the U.S.–Israeli war with Iran continued to roil global energy markets.
Japan and Indonesia will deepen coordination on energy security, Tokyo said, as the U.S.-Israeli war on Iran disrupts vital oil and gas flows to Asia.
China's three largest state-owned airlines have issued warnings regarding their financial outlook for the current year, acknowledging that the eruption of war involving Iran has driven jet fuel prices to unsustainable highs.
Stock markets across Asia fell on Monday as escalating conflict involving Iran drove oil prices sharply higher, fuelling fears of inflation and a potential global recession, with investors reacting to disruption risks in the Strait of Hormuz and prolonged hostilities.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment