National Bank of Belgium publishes annual climate disclosures and adopts 2030 interim carbon-footprint targets for equity and corporate bond portfolios

The National Bank of Belgium has published its annual climate-related disclosures for its non-monetary policy portfolios, setting out how it identifies, manages and reports climate-related risks and impacts in line with the Task Force on Climate-related Financial Disclosures framework. The report highlights the introduction of intermediate portfolio targets, including a 50% reduction in carbon footprint by end-2030 versus a 2021 baseline for the European equities portfolio and for the actively managed portion of the foreign currency-denominated corporate bond portfolio. For the European equities portfolio, the Bank adjusted the benchmark index in 2024 by moving to an EU climate transition benchmark index, with the benchmark’s carbon footprint reported as 37% lower in 2024 than in 2021. For the actively managed foreign currency corporate bond sleeve, the Bank reports a 22% reduction in carbon footprint between 2021 and 2024. The disclosures also expand metrics by integrating Scope 3 emissions into weighted average carbon intensity, total greenhouse gas emissions and carbon footprint measures for non-sovereign assets, while noting data-quality limitations and coverage effects; year-end climate data for 2024 were not yet available, so year-end 2023 climate data were used. The report frames these intermediate targets within longer-term objectives, including net-zero financed emissions by end-2050 for both sovereign and non-sovereign assets, and notes that progress against targets will require annual monitoring, with Scope 3 reporting positioned as a baseline for further development of disclosures.