Institutions for Regulating Private Climate Finance

Unofficial AI-generated summary based on the public title and abstract. Not an official translation.

🔬研究者:Researchers can leverage the methodology to study other central banks' impacts on green finance.

🏢実務担当者:Green bond issuers and investors may use these findings to anticipate discounting risks in central bank operations.

🏛政策担当者:Central bankers can reassess collateral frameworks to avoid anti-green biases.

Abstract Central banks have over the last decade come to consider climate transition and climate financing an increasingly important part of their mission. This chapter explores the interaction between central banks’ everyday market interventions on the one hand, and green finance performance on the other. Looking specifically at the impact of European Central Bank (ECB) liquidity operations on green bond market performance, the headline finding is that the ECB Collateral Framework is imbued with what we term an ‘anti-green impact’. The novelty of green bonds as an asset class, and the relative marginality of green bonds to mainstream financial system operations, seems to lead the ECB to systematically demand larger discounts from the seller when purchasing green bonds within their Collateral Framework operations. Moreover, the chapter shows in turn that this anti-green impact from the ECB translates into depressed performance of the wider green bond market. It appears that, unintentionally, ECB ‘business as usual’ Collateral Framework operations may provide headwinds that generate costs for green bond issuers and holders.

• crossref https://doi.org/10.1093/9780198965275.003.0005first seen 2026-05-14 23:23:54