Greenhouse gas (GHG) emissions and the related climate change consequences are having visible, significant impacts on all spheres of society. As indicated by the Intergovernmental Panel on Climate Change (IPCC), these impacts particularly affect the financial systems, potentially testing their resilience in times of crisis. These considerations and impacts are included in a broader climate risk framework.
In light of these concerns, the AMF, like its peers, is focusing on strengthening the resilience of the financial sector and the financial institutions it regulates. These institutions are now expected to consider climate-related risks in their integrated risk management processes.
The guideline considers the latest climate risk disclosure recommendations issued by standard-setting bodies, particularly the Task Force on Climate-related Disclosures (TCFD) and International Sustainability Standards Board (ISSB) recommendations. Specifically, for the insurance sector, it considers the International Association of Insurance Supervisors (IAIS) recommendations and the Basel Committee on Banking Supervision (BCBS) recommendations contained in the Principles for the effective management and supervision of climate-related financial risks.
