The European Banking Authority (EBA) has published a set of climate risk indicators for the EU/EEA banking sector, drawn from banks’ Pillar 3 ESG disclosures, and launched an interactive dashboard to provide centralised access to comparable metrics and benchmarks. The tool is positioned as the first step toward a broader framework for monitoring ESG risks and is intended to support assessment of both transition and physical climate-related risk. For now, the monitoring tool covers climate risk only, reflecting the scope of the quantitative Pillar 3 disclosures. The indicators show substantial exposure to sectors that highly contribute to climate change, with average exposure shares above 70% in most countries; banks also reported average exposure shares below 30% in areas subject to elevated physical risk, although the granularity of assessment varies across firms. The dataset further points to a notable share of loans secured by immovable property in the highest energy-efficiency score buckets, while highlighting considerable use of proxies and estimates. The indicators are based on reference dates of 31 December 2023 and 30 June 2024. The EBA plans to update the indicators regularly and further develop the monitoring framework over time.

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