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Central banks to supervise climate risks


Central banks from European nations and China have set up a network to share best practices in the supervision of climate risks, especially those related to regulation of insurers, Bloomberg reported. The central banks need to ensure that the insurance industry updates its models and sets aside enough capital to deal with growing climate risks. Francois Villeroy de Galhau, governor of the Bank of France, said that the financial sector should move towards "a compulsory transparency requirement" so that companies are forced to provide a snapshot of their climate risks.

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