Within its membership in the International Network for Greening the Financial System (NGFS), experts from the National Bank participated in developing the second edition of the *Guide on Climate-Related Disclosure for Central Banks*.

The guide outlines four key areas for integrating climate risks into central banking functions: organizational structure, strategy, risk management, and goals and measures. National Bank experts specifically contributed to crafting recommendations for reporting within the risk management process. The National Bank was one of 14 central banks involved in creating this updated and enhanced guide, a process that spanned two years. This effort included active participation in the sub-group on Central Banks’ Own Disclosure of Climate-Related and Environmental Risks, part of the NGFS’s Net Zero group.

The updated guide encourages central banks to lead by example by disclosing their climate-related risks and activities. It asserts that increased transparency on climate issues is crucial for better risk management and is vital for supporting the transition to a sustainable economy.

Following best reporting practices, the National Bank published an annex on climate risk exposure and the effects of sustainable investment in foreign reserves within its 2023 Annual Report. Moving forward, the National Bank will share its experience in measuring and disclosing climate risk exposure in foreign reserves management during a virtual meeting. This event will be part of the NGFS’s educational workshops, aimed at guiding central banks just beginning their work in this area.

The NGFS comprises 141 central banks and supervisors, along with 21 observers, who voluntarily share best practices and contribute to advancing environmental management and climate risk management in the financial sector. This collective effort helps mobilize finance in support of the transition to a sustainable economy.