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Environment & Energy Report

Central Banks Are Thinking Greener as Climate Change Hits Policy

April 2, 2019, 1:40 PM

Climate change is increasingly affecting the world’s central banks and their monetary policies.

At a time when students around the globe are urging governments, companies, and citizens to protect the environment, awareness is growing among currency guardians that weather disruptions, carbon emissions, and green finance will demand significant attention.

Freak weather events blamed on global warming -- largely regarded as temporary shocks so far -- risk becoming serious impediments to economic management in the future. They could even require a rethink of central-bank mandates at some point. But officials aren’t only on the receiving end: Their policies to support growth...

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