Can and should central banks smooth climate change-induced shocks to price and financial stability? The case of India

“There is an increasing academic consensus around the magnitude of the threats posed by climate change. The extent to which such threats could be mitigated by central banks, however, has been subject of disagreement. Nonetheless, it is clear that several central banks see climate change as a threat to their core mandates, namely price and financial stability. In turn, these have disproportionate effects on the livelihoods of people living below the poverty line, especially in developing countries. This paper will present the channels through which climate change impacts the mandates of central banks, and will later examine the case of India while additionally suggesting several policy recommendations.”

By Giulia Guerrini

Published on 11 September, 2022

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s