The EBA publishes final templates to collect climate-related data from EU banks

Following a public consultation (eventid=22358), EBA has now published final templates for gathering climate-related data from 110 EU banks, marking a significant step in the one-off Fit-for-55 climate risk scenario analysis. This initiative, spanning 1 December 2023, to 12 March 2024, aims to comprehensively assess climate-related risks in the banking sector. The templates, complemented by guidance outlining definitions and rules, cover credit risk, market risk, real estate risk, and financial information. Participating banks are mandated to furnish both aggregated and counterparty level data as of December 2022.
The templates encompass various facets, including instructions, input, calculation support, and validation data. Their primary focus lies in evaluating concentration risk, amplification mechanisms, and second-round effects associated with climate-related risks. To ensure data accuracy, the EBA plans to conduct data quality checks on multiple submission dates, with competent authorities communicating submission schedules and key milestones to the participating banks.
These templates adhere to supervisory reporting standards, specifically referencing FINREP and COREP standards applicable up to 31 December 2022. The accompanying guidance provides meticulous instructions on data inputs, formats, and color-coded categories. Addressing credit risk, market risk, and real estate risk, the templates require detailed information for each counterparty, encompassing exposure values, financial data, risk parameters, and greenhouse gas emissions.
The EBA underscores the crucial importance of accurate reporting and strict adherence to the specified format and structure of the templates. Ultimately, this data collection initiative is poised to advance the comprehension and management of climate-related risks within the EU banking sector, aligning with broader environmental sustainability objectives.
The results of the Fit-for-55 climate risk scenario analysis, stemming from the EC’s Strategy for Financing the Transition to a Sustainable Economy (see EventID #11446), are expected to be published by the first quarter of 2025.