Credit, capital and client strategy for a transitioning economy
Banks sit at the centre of the transition, as lenders to the sectors that must change and as institutions supervisors hold to account for climate and nature risk.
The questions on the agenda
Supervisors expect climate risk in credit decisions
ECB, PRA, FINMA and others are moving from disclosure to integration: in ICAAP, risk appetite, collateral valuation and loan pricing.
Transition plans face scrutiny
Net-zero commitments must translate into sector policies, client engagement and measurable portfolio change.
Reporting regimes are converging
CSRD, Pillar 3 ESG and ISSB require one consistent data model across financed emissions and exposures.
Sustainable lending must be credible
Green and transition products need taxonomy alignment and evidence that withstands greenwashing scrutiny.
What we do for banks
Each engagement draws on our proprietary frameworks and on direct experience inside the institutions and initiatives that set market practice.
Discuss your priorities- Climate and nature risk in credit processes and ICAAP
- Transition finance frameworks and sector pathways
- Sustainable lending products and taxonomy alignment
- CSRD, Pillar 3 and supervisory readiness
Resources for this practice
CSRD Readiness for Banks
Climate Risk Decision Ladder self-assessment
Transition Plan Credibility Test
The frameworks behind this work
Climate Risk
Disclosure-ready scenario analysis for ISSB S2, ESRS E1 and TCFD, built so the same analysis can inform pricing, capital and portfolio decisions.
ExploreTransition Finance
Transition plans for banks, insurers and investors, built around the growth opportunities of the energy transition and energy security.
ExploreNature & Biodiversity
TNFD-aligned assessment and disclosure, with priorities for where nature is most likely to become financially material.
ExploreExperience our senior consultants bring
Physical risk in a regional loan book
Asset-level flood and heat exposure assessment across a bank’s mortgage and SME portfolio, translated into PD adjustments for its ICAAP.
An adaptation taxonomy playbook
Developed a playbook guiding policymakers and financial institutions through the design and implementation of an adaptation taxonomy.
A global standard for insurance-associated emissions
Led the development of the first global standard to measure and disclose the greenhouse gas emissions associated with insurance underwriting portfolios, working with insurers and the carbon accounting community.
Start with a 30-minute conversation
Tell us about the decision in front of you. We will give you a view on how to approach it, and whether we are the right firm to help.