Climate-resilient Financial Sector

The resilience of Singapore’s financial sector to climate and environmental risks is vital to ensure stability and soundness of our financial system.

The Monetary Authority of Singapore (MAS) has published supervisory expectations on environmental risk management and proposed guidelines for financial institutions (FIs) to adopt sound transition planning to address both physical risks from climate change and those arising from the low-carbon transition.

MAS also supports capacity building, such as supporting a study by three Singapore banks and the University of Cambridge Institute of Sustainability Leadership to build capability to assess financial impacts of nature-related risks using the palm oil sector as a case study.

Globally, MAS contributes to sustainable finance efforts through participation and leadership in international committees and platforms, building expertise and aligning understanding among financial authorities on how FIs are managing climate-related risks.

Fostering strong climate and environmental risk management to build a resilient financial sector.