Context:
The Reserve Bank of India (RBI) has launched a dedicated climate risk data platform, RBI-CRIS, aimed at equipping financial institutions with critical tools and information to address risks arising from climate change.
Key Highlights:
- Platform Name: RBI–Climate Risk Information System (RBI-CRIS)
- Objective:
- To address climate-related financial risks.
- To support regulated entities in integrating climate risk into decision-making and risk management frameworks.
- Platform Components:
- Public Directory:
- A freely accessible web-based directory.
- Lists geospatial and meteorological data sources relevant for climate risk assessment.
- Restricted Data Portal:
- Available only to regulated entities.
- Offers processed, standardized datasets to support climate risk modelling and mitigation.
- Public Directory:
- Significance:
- Bridges existing data gaps on climate vulnerability and exposure.
- Enables banks, NBFCs, and financial institutions to conduct robust climate scenario analysis.
- Aligns with global central banking efforts to assess financial stability risks linked to environmental factors.
- Regulatory Implication:
- Reinforces RBI’s focus on sustainable finance and risk-based supervision.
- Encourages integration of climate considerations in credit appraisal, portfolio management, and capital adequacy planning.
