Frequently asked questions on climate-related financial risks

The Basel Committee on Banking Supervision today issued responses to frequently asked questions (FAQs) to clarify how climate-related financial risks may be captured in the existing Basel Framework. These FAQs intend to facilitate a globally consistent interpretation of existing Pillar 1 standards given the unique features of climate-related financial risks and should not be interpreted as changes to the standards. This publication is part of the Committee's holistic approach to addressing climate-related financial risks to the global banking system. The responses are consistent with the Basel Committee's Principles for the effective management and supervision of climate-related financial risks.