Event date: 05/04/2017
Water scarcity has been highlighted as a top three potential risk by the World Economic Forum’s Global Risks Reports. Drought events are expected to become more frequent and increase in intensity in many regions due to physical climate change impacts. Improving the availability and quality of respective methodologies to adequately price and manage environmental and climate change-related risks is crucial to make financial decision-making more prudent, markets more efficient and economies more resilient.
In a pilot project on Environmental Stress Testing, the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH and the Natural Capital Finance Alliance (NCFA), developed an analytical framework and tool that allows banks to quantify and assess the potential impact of drought events on the performance of their corporate loan portfolio. The Environmental Stress Testing Tool was successfully tested and developed with 9 partner banks from Brazil, China, Mexico and the United States.
The tool and accompanying report, “Drought Stress Testing: Making Financial Institutions More Resilient to Environmental Risks”, will be launched at the opening panel session during an Environmental Finance conference on Wednesday 5th April; “Water: Risk, Opportunity and Sustainability 2017”.
The Environmental Stress Testing session will being at 09:35 and conclude at 10:20.
For more details and to register to the full conference, please click here: https://www.environmental-finance.com/content/events/water-risk-opportunity-and-sustainability-2017.html