Summary:

- This article from the Bank for International Settlements (BIS) discusses the role of central banks in addressing climate change and environmental sustainability.
- It highlights how central banks are increasingly incorporating climate-related risks into their monetary policy and financial stability frameworks, as well as their own operations and portfolios.
- The article explores the various tools and approaches central banks are using, such as green bond purchases, climate stress testing, and incorporating environmental factors into their collateral frameworks.