MAS issues net-zero emission transition guidelines for financial institutions

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MAS issues net-zero emission transition guidelines for financial institutions
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These efforts should also include working together to implement measures to reduce carbon emissions. Read more at straitstimes.com.

SINGAPORE – Financial Institutions should join forces with their customers and investment partners to tackle the transition risks associated with climate change, noted the Monetary Authority of Singapore on Wednesday.

The guidelines are part of a set of three MAS consultation papers to help banks, insurers and asset managers move towards a net-zero economy. MAS proposed that financial institutions should take a “multi-year approach” to their transition processes as it can take a while for risks to manifest themselves.

Financial institutions are also expected to disclose “meaningful and relevant” information to help stakeholders understand how they are responding in the short, medium and long term to material climate-related risks, and the governance and processes for addressing these, it added.

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