In response to the climate change crisis, the Bank of Greece (BoG) on Wednesday released an eight-point plan it has committed to, pledging to make finance flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development.
In the context of the 2021 United Nations Climate Change Conference (COP 26) currently taking place, BoG said it was "one of the first central banks to respond to the issue of climate change," starting in 2009 with the founding of the interdisciplinary Climate Change Impacts Study Committee, bringing together distinguished experts from various domains of knowledge.
After reviewing its actions over the past years related to climate change, it said it commits to the following in the years to come:
- Develop and maintain an action plan for addressing climate change and sustainability issues within its field of responsibility;
- Continue to engage with financial authorities, institutions and stakeholders on sustainability issues, to raise awareness and promote a better understanding of the impact of climate change on the financial system, facilitate transition to a carbon-neutral economy and enhance coordination and consistency of international policies;
- Make use of the NGFS recommendations, best practices, guides and training material in implementing the action plan and develop the necessary internal competences, skills and knowledge of climate and environmental risks;
- Conduct theoretical and empirical research and provide statistical data on climate and environmental issues, in collaboration with the various stakeholders;
- Assess the financial system’s exposure to climate-related and environmental risks, including identification of the channels of their transmission to the financial system and risk impact analysis under different scenarios;
- Explore ways to embed the outcome of research and analysis and the available tools and methodologies in macroeconomic forecasting models, financial stability monitoring and supervisory approaches;
- Apply sustainable and responsible investment principles in its non-monetary policy portfolios and, consistent with the common stance of the Eurosystem, start making annual climate-related disclosures on its non-monetary policy portfolios within the next two years; and
- Design and implement an organisation-wide programme for reducing the environmental impact of own operations, by implementing environmental management systems and applying circular economy principles in resource management.
RESOURCE | ABOUT THE BANK OF GREECE
The Bank of Greece is the central bank of Greece. Its headquarters is located in Athens on Panepistimiou Street, but it also has several branches across the country. It was founded in 1927 and its operations started officially in 1928. The building that currently houses its headquarters was completed ten years later in 1938. The Bank of Greece is listed on the Athens Exchange.
The Bank of Greece, a member of the European System of Central Banks (ESCB), is the national central bank of Greece and was established by Law 3424/7 December 1927. The shares of the Bank of Greece are registered and have been listed on the Athens Exchange since June 12, 1930.
It is a partially state owned S.A. share company with special privileges, special restrictions, and duties. It cannot operate as a commercial bank and the percentage of shares that can be under Greek state ownership cannot exceed 35% (initially this limit was 10% ). It has a staff of more than 1,800 employees.
The primary objective of the Bank of Greece is to ensure price stability in Greece. It also supervises the private banks and acts as a treasurer and fiscal agent for the Greek government. Since law 3867/2010 was passed the Bank of Greece is also responsible for supervising private insurance companies, merging with the Committee for the Supervision of Insurance Companies established by law 3229/2004.
Its Euro banknotes printer identification code is Y.
The Bank of Greece also sells gold sovereigns.
The chief officer of the Bank of Greece is the Governor, a governmental appointee.
