Climate risk and its impact on financial institutions

8 steps to get a head start on performing climate scenario analyses that tests your resilience to emerging climate-related financial risks.

How to quantify the potential financial impacts of climate change

Climate change is a systemic risk for the financial services industry, governments, and prudential regulators around the world are proposing new requirements to better understand the impacts of climate change on their economies and regulated entities. Already, leading financial institutions (FIs) are adapting existing stress testing and lessons learned from capital planning exercises to perform climate scenario analyses that will test their resilience to the emerging financial risks associated with climate change.

KPMG can help your organization improve your understanding of:

  • The financial risks associated with climate change
  • How to adjust and respond to different climate scenarios
  • How to improve financial and non-financial climate risk management

Read the paper below to learn about 8 steps your financial organization can take to get a head start on performing climate scenario analyses.

Climate scenario analysis: It’s not capital stress testing
Learn how financial institutions are adapting existing methods to test their resilience to emerging financial risks associated with climate change, and 8 steps you can take to get a head start.


More blogs on climate risk

Contact us

Karim Doughan

Karim Doughan

Manager Advisory, Modeling & Valuation, KPMG LLP

+1 212-872-5528
Adam Levy

Adam Levy

Principal, Modeling & Valuation, KPMG US

+1 312-665-2928
Frank Manahan

Frank Manahan

Advisory Managing Director, Financial Services Solutions, KPMG US

+1 949-354-1077