Climate and nature plan 2024-2025 at a glance
We have taken stock of the progress made since our climate agenda 2022, and decided to expand our work on climate change.
In 2024 and 2025 we will focus on three areas:
- the implications of the green transition,
- the physical impact of climate change, and
- the risk that nature loss and degradation pose to the economy.
Our work on climate and nature
Why is it relevant for the ECB?
Higher temperatures, storms or droughts – but also deforestation, soil erosion or pollinator losses – can push up prices and ultimately inflation. Price and financial stability can only be preserved if climate and nature are stable.
Why climate change mattersWhat are we doing about it?
In line with our three strategic objectives, our work on climate change is entering a new phase guided by our climate and nature plan 2024-2025. By building on lessons learnt, the plan outlines where we are broadening our efforts and identifies three focus areas for our activities.
Deep dive into our climate and nature plan 2024-2025Where are we broadening our efforts?
What areas are we focusing on in 2024 and 2025?
1. Navigating the transition
Greening the economy will contribute to price and financial stability. Delaying the transition will increase its costs. We continue to explore what the transition means for the economy and financial system, and to consider how we can support it within our mandate.
2. Assessing the physical impact of climate change
Extreme weather affects the economy and drives up prices. Understanding the impact of a changing climate is important for our work as a central bank and banking supervisor. We also share our research to help all economic actors make informed decisions and adapt.
3. Exploring nature-related risks
Our economy relies on nature and cannot exist without nature, which is why nature degradation poses financial risks. We therefore need to assess the implications of nature degradation – and its interplay with climate – in pursuit of our mandate.
See also