By Jon Hay 09 Jul 2021 Central banks have become integral to the fight against climate change in financial markets. Participants now expect them to wield their immense influence through many avenues of their work — economic analysis, metrics, supervision, investment and even monetary policy. None of this is explicitly in the mandate of any central bank. In the past four years, first a few central banks and now many have rethought and reinterpreted their mandates, in light of the realisation that climate change poses an existential threat to our way of life — and hence, inevitably, to financial and price stability. The main channel for that rethinking has been the Central Banks’ and Supervisors’ Network on Greening the Financial System (NGFS), formed in December 2017 by institutions from eight countries, which now has members from some 70 jurisdictions.