In January the European Central Bank (ECB) launched the first stress test for European banks using climate criteria. The results are out and show that banks face huge potential projected risk under the short-term scenarios covering transition and physical risks.
The ECB’s first climate stress test showed lenders face a potential €70 billion hit ($71 billion) from increasing natural disasters and large-scale changes across industries in the wake of an economic downturn and other global challenges. Unsurprisingly, at the sector events we have been attending over the past few months, this subject was very much at the top of the agenda and commanded many of the discussions that followed the keynote presentations.
Having the chance speak face-to-face with major European lenders and learn about the nuances of their requirements regarding climate risk management has made us even more excited about the multi-hazard datasets and analytics we offer as Royal HaskoningDHV Digital.
Our Channel Sales Manager, Rob Carling, and Chief Commercial Officer, Mark Nunns, are now further engaging with new contacts they have met at recent events to carry our free climate risk consultations. If you would be interested in such a consultation, you are invited to contact Ted Bartholomeusz to arrange.
Climate change and the risk of flooding
Climate change will impact the Balearics, as the five islands are at increasing risk of permanent loss of land. It is expected to cause widespread ecological and economic impacts, especially in the urban and densely populated areas of the islands. Additionally, climate change could increase the intensity of waves and storm surges, causing severe economic impact and the loss of tourist areas.
The loss of tourist recreational services represents a GDP loss up to 7.2% with respect to the 2019 GDP. Up to 65% of the beach area in the Balearic Islands will be permanently lost due to the climate crisis. During storms conditions, up to 80% of beaches could be lost.
Contact Ted Bartholomeusz for more information about these new opportunities to understand heat and drought stress risk
T: +44 (0)1273 006904
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