CfPs: JNU Conference on Integrating Climate-Related Financial Risks in the Institutional Frameworks Governing Banking Ecosystem | New Delhi, 1-3 March

CALL FOR PAPERS

International Conference on Integrating Climate-Related Financial Risks in the Institutional Frameworks Governing Banking Ecosystem

1-3 March, 2027

Organised by: Centre for Economic Studies and Planning, Jawaharlal Nehru University, India

[under the auspices of Reserve Bank of India Professorial Chair]

 

CONCEPT NOTE

‘Climate-related ‘events’ affect the functioning of ecosystems. But the nature and type of such perturbations cannot always be predicted. They are highly multidimensional, non-linear, and subject to tipping points. It changes the ‘equation’ between expected risk and expected returns from financial assets. In turn, it affects the economic systems with social consequences. The seriousness of climate-related financial risks (CRFR) has been recognized by Basel Committee on Banking Supervision (BCBS) in its 2024 version of ‘Core Principles for Effective Banking Supervision’ as one of the new risks that can affect the stability and resilience of financial systems. Reserve Bank of India (RBI) implements the international Basel capital frameworks. CRFR refers to the potential risks that may arise from climate change (physical risk) or from efforts to mitigate it (transition risk). Its economic consequences can be microeconomic such as stranded assets, as well as macroeconomic such as rise in prices. Financial consequences cover all the traditional categories such as credit (increase in default due to landslides), market (repricing of assets due to repeated wildfires) and underwriting (increased insurance gap due to unforeseen drought intensity), among others. Each has its own social consequences. A rise in the ‘spread’ and ‘depth’ of impact of climate-related ‘events’ on ecosystems widens and amplifies the consequent financial, economic and social ramifications. The costs are borne by the State, or the insurance companies or the individuals/ households, in monetary and/or non-monetary terms. It can have fiscal implications (additional public expenditure to minimize loss of life during cyclones), affect financial viability of insurance companies (claims by much larger number of farmers affected by drought than expected), and impact households (higher out-of-pocket expenditure to take care of health damages due to landslides). In most cases, the marginalized bear a disproportionate share of the social costs. One of the RBI's statutory mandates is to ensure monetary stability. It follows that the part of the financial ecosystem under its jurisdiction is to be managed with an objective to minimize the impacts of climate-related ‘events’ on it. Draft Disclosure framework on Climate-related Financial Risks, 2024 released by RBI is a step towards this direction. Against four pillars – Governance, Strategy, Risk Management, and Metrics and Targets – it proposed a variety of disclosures to be made by the entities it regulates, including some Co-operative Banks and NBFCs. It is similar in approach to the Environmental, Social, and Governance (ESG) framework of the Securities and Exchange Board of India (SEBI). However the scope the RBI framework is much wider. The financially included population stands at about 90%. RBI’s Draft Disclosure Framework (2024) reflects the developments at the BCBS, the Network of Central Banks and Supervisors for Greening the Financial System (NGFS) and International Sustainability Standards Board (ISSB) vis-a-vis International Financial Reporting Standards (IFRS). There are several Central Banks, including RBI, are making attempts to address the impacts on the financial systems originating from climate-related ‘events’. Notwithstanding such efforts, several questions are yet to be answered. The conference is expected to address some of them. For example, as CRFR must be addressed at both the individual and systemic levels, data is required across scales. Risk assessment requires combination of several databases, to overcome temporal or spatial gaps within each data source. It can range from agricultural geospatial analysis to the location, characterization and valuation of infrastructure and assets. Data quality and accessibility remains a significant challenge notwithstanding the advances such as Reserve Bank – Climate Risk Information System (RB-CRIS). More granular data is needed against multiple variables. This conference offers a forum for researchers, policymakers and practitioners to engage with this economically sensitive and socially relevant aspect of public policy.

 

INDICATIVE LIST OF TOPICS AND QUESTIONS: 

1. Theoretical and conceptual advances:

   1. How does the climate-related physical risks and transition risks (say, policies towards achieving ‘net zero’) impact the trade-offs between stabilising inflation and output and how can it be assessed?

   2. How does the CRFR impact monetary policy transmission and structural variables such as the natural rate of interest?

   3. How far the ‘Green Deposits’ can help the banks to dampen the impact of CRFR on its assets and liabilities? What will be contours of a conceptual framework for a globally harmonised climate finance taxonomy defining such deposits? 

   4. What kind of adjustments is needed in the traditional macroeconomic models to consider different climate considerations such as temporary and permanent effects as well as supply-side and demand-side shocks? 

   5. As modelling climate change requires addressing several dimensions of uncertainty that differ between physical and transition impacts, which type of integrated assessment models is best suitable to capture both types of impacts? 

2. Data and metrics: 

   1. Are standardised datasets capturing various variables are interoperable enough and adequately granular for assessment of CRFR? 

   2. How far the existing data handling software can capture and analyse multidimensional data on physical and transition risks to yield results that can be used in evidence based policy making?

   3. What are the attributes of metrics and indices to capture CRFR and communicate the same to policymakers and practitioners?

3. Adjustments in the traditional monetary policy operations and instruments: 

   1. Which options are best suited for adjusting operational frameworks to CRFR, within the purview of credit operations, collateral policies, and asset purchases? How can ‘best’ be defined? What evidence is required to justify the claim? 

   2. While traditionally the central banks adjust their operational frameworks from a risk management perspective, do they need to move beyond it? For example, instead of ensuring not undermining the transition to a low-carbon economy can it explore ways in which they can actively support that transition? 

We welcome submissions that address issues aligned with the conference theme.

IMPORTANT DATES:

Submission opens on November 01, 2026.

Deadline for submission of proposals is December 31, 2026

Deadline for submission of commentary or perspectives for consideration of publication is April 30, 2027. 

• Extended abstracts (1500-2000 words) to be sent to chair_rbi[at]jnu[dot]ac[dot]in. Selected papers will have an opportunity to be considered for publication in Ecology, Economy and Society–the INSEE Journal. EES is Scopus-indexed, diamond open access with no APC and a COPE member. 
• There is no registration fee. 
• Limited travel and accommodation support as per the Government of India norms can be provided for outstation participants, subject to fund availability.

Further Details