“Central banks play a key role in Green Finance,” said Ms Mauderer during a speech in Frankfurt. “The Bundesbank is currently exploring ways in which it can increasingly integrate sustainability criteria into its own portfolios and those that it manages.” Some of the portfolios that the Bundesbank manages for Federal states are already invested according to sustainability criteria or are on their way to investing in Green Bonds, she pointed out.

Analysis of climate-related risks to financial stability

Apart from investments in sustainable assets, the Bundesbank works within the Network for Greening the Financial System to examine in greater detail climate-related risks for individual financial institutions and the financial system as a whole, and to take them into account in their analyses. “We are looking into whether the financial system would be able to deal with sudden asset devaluations resulting from climate risks," commented Ms Mauderer.

Intensifying dialogue with market participants and the general public

In addition, the Bundesbank wants to intensify the dialogue on Green Finance with market participants and the general public. For this purpose, the Bundesbank will be publishing a report on current trends in Green Finance and sustainability criteria in the autumn. Furthermore, the Bundesbank is organising a financial markets conference on sustainability to be held in October.