Why the CFTC’s New Report on Climate Change and Financial Stability Matters
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Over the past decade, financial regulators around the world have woken up to the growing risks that climate change poses for the financial system. At first, it seemed to financial authorities that climate change was an exclusive concern of environment and foreign ministries—an issue of diplomacy and energy policy, scarcely relevant to financial markets. Even the most forward-looking could see that climate change would touch finance, but the risks appeared too far in the future, or too abstract to deal with practically.
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