The Network for Greening the Financial System has published its 2026 Guide for Supervisors on climate and nature-related financial risks, updating its 2020 guidance to reflect evolving prudential practices. The guide provides a progressive and proportionate framework for supervisors to understand risk transmission, align oversight with their mandates, assess institutions’ exposures, set expectations and deploy microprudential or macroprudential tools where appropriate. The revision expands its treatment of nature-related risks and their links with climate change, building on the NGFS’s recent work to integrate nature into prudential oversight. It also addresses transition planning, adaptation, scenario analysis and stress testing, including emerging nature-related applications, as well as legal, reputational and disclosure-related risks. Drawing on a survey covering supervisory authorities from 70% of NGFS member jurisdictions, the recommendations are designed to be adapted to different mandates, institutional arrangements, resources and stages of implementation.
2026-09-21Network for Greening the Financial System
Network for Greening the Financial System updates supervisory guide for climate and nature-related financial risks
The Network for Greening the Financial System has updated its supervisory guide for climate and nature-related financial risks. The guide expands coverage of nature risks, transition planning, adaptation, stress testing, legal exposure and disclosures, while offering proportionate recommendations that supervisors can adapt to their mandates and resources.