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.
According to Bloomberg News, the United States and Russia are working toward an agreement aimed at halting the war in Ukraine by formalizing Russia’...
A fire broke out at Cordoba’s historic mosque-cathedral on the night of 8 August but was swiftly extinguished, preventing damage to one of Spain’...
Wildfires driven by powerful winds swept through Greece on Friday, from the southern outskirts of Athens to the region near Ancient Olympia....
The Canadian government announced Friday it will join key allies in reducing the price cap on Russian seaborne crude oil in response to Moscow’s ong...
Washington, D.C., will see its federal security funding reduced by $20 million this year under a Trump administration plan, despite the president’s ...
A fire broke out at Cordoba’s historic mosque-cathedral on the night of 8 August but was swiftly extinguished, preventing damage to one of Spain’s most treasured architectural landmarks.
Wildfires driven by powerful winds swept through Greece on Friday, from the southern outskirts of Athens to the region near Ancient Olympia.
The Canadian government announced Friday it will join key allies in reducing the price cap on Russian seaborne crude oil in response to Moscow’s ongoing war in Ukraine.
U.S. President Donald Trump personally welcomed Azerbaijan’s President Ilham Aliyev at the White House today, ahead of a historic peace signing ceremony. The meeting sets the stage for a U.S.-brokered framework aiming to stabilize relations in the South Caucasus.
The world’s biggest dance music festival faces an unexpected setback as a fire destroys its main stage, prompting a last-minute response from organisers determined to keep the party alive in Boom, Belgium.
According to the German Research Centre for Geosciences (GFZ), a magnitude 5.7 earthquake struck the Oaxaca region of Mexico on Saturday.
China and the Association of Southeast Asian Nations will send an upgraded ‘version 3.0’ free-trade agreement to their heads of government for approval in October, Chinese Foreign Minister Wang Yi said on Saturday after regional talks in Kuala Lumpur.
A resumption of Iraq’s Kurdish oil exports is not expected in the near term, sources familiar with the matter said on Friday, despite an announcement by Iraq’s federal government a day earlier stating that shipments would resume immediately.
Chinese automaker Chery has denied an industry-ministry audit that disqualified more than $53 million in state incentives for thousands of its electric and hybrid vehicles, insisting it followed official guidance and committed no fraud.
De-dollarisation, the move away from the U.S. dollar in global trade and finance, is no longer a fringe idea. As geopolitical tensions rise and new financial tools emerge, could this shift really transform the global economy?
Kuwait says oil prices will likely stay below $72 per barrel as OPEC monitors global supply trends and U.S. policy signals. The remarks come during market uncertainty fueled by new U.S. tariffs on India and possible sanctions on Russia.
U.S. stock markets closed higher on Wednesday, with the Nasdaq leading gains after tech giants – particularly Apple – saw strong advances.
Global financial markets are trading mixed today amid U.S. President Donald Trump’s announcement of tariffs on drug and semiconductor imports, coupled with weak service sector data impacting investor risk appetite.
Tesla has granted Elon Musk a $29 billion share award as part of a new compensation plan to retain him as CEO while the company shifts focus from electric cars to robotaxis and AI. The move revives elements of a controversial 2018 package previously struck down by a Delaware court.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment