How does Climate-Related Risk Management and Disclosure affect your Banking Business?

Jan 19

To manage your climate-related risk as a financial institution, you ought to identify it. Your climate-related risk may result from the bank operations and activities or from your business products.

A comprehensive assessment of how the risks posed by climate change affect your business products is essential. A customer’s climate-related risk directly affects their ability to meet their obligations with you. Therefore, it is paramount that a client can identity, mitigate and disclose material climate-related risk during onboarding, credit initiation and underwriting, credit evaluation, credit review and investment decision making process.

The bank may identify the high-risk asset portfolios based on sector/geographical exposures. However, a detailed portfolio specific assessment, will zero in on the client’s climate-related for disclosure to the bank. In addition, the portfolio owner will gain a deeper understanding of the risks and get knowledge on mitigation and management of the risks.

Due to implementation of appropriate mitigation and management of climate related risks, by the portfolio owner, the bank will experience a reduction of risk overtime, that will allow for growth of the portfolio and increased business for the bank.

ESG Whiz is an Environmental, Social and Governance (ESG), Sustainability and Green Building consultancy. We are skilled and experienced in Sustainability Reporting, Environmental and Social Impact Assessments (ESIA), Environmental and Social Compliance Audits (EA), Carbon Accounting, Life Cycle Assessments (LCA), Life Cycle Costs (LCC), Environmental Product Declaration (EPD), the Build Environment, Green Building Advisory and Certification (LEED and EDGE), Corporate Governance and Strategic Planning and Management.

We leverage our skills and experience to enable organisations identify, mitigate, and manage their climate-related risks.

Can we discuss how we can add value to the bank? Looking forward to hearing from you.

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Financial Institutions

Wakina Mutembei

I am passionate about driving innovative, sustainable, and scalable solutions.

A seasoned Environmental, Social and Governance (ESG) and Sustainability professional and a Quantity Surveyor with over eleven (11) years of experience, working on sustainable development projects. I have contributed to initiatives and projects in East Africa, Sierra Leone, and Indonesia.

https://esg-whiz.com/team