Environmental, Social and Governance Risk Management Framework for the financial sector

This flagship project, at his second year, aims to strengthen Member States’ capacity to monitor and address ESG risks in the financial sector, accelerate the green transition in the EU, and increase consumers’ and investors’ awareness of the ESG impact and risks in individual financial choices. The project aims to support Member States’ national competent authorities (NCAs) – financial supervisory authorities and central banks – in overseeing the mitigation of environmental, social and governance (ESG) risks in the financial sector by implementing the related existing and forthcoming EU regulatory framework. The project caters for the different perspectives and domains that NCAs need to consider when addressing the challenges of ESG risks, such as micro- and macro-prudential considerations, financial stability impacts and potential detriment to consumers and investors. The JRC focusses on data and methodologies, as well as on awareness and capacity building actions.