Latvijas Banka’s disclosures are part of a concerted effort by all Eurosystem’s central banks to publish climate-related financial disclosures on their euro-denominated non-monetary policy portfolios. This is done using a common framework that sets minimum reporting requirements based on the recommendations of the Task Force on Climate-related Financial Disclosures.
Second Climate-Related Disclosures Report, shedds light on its initiatives to foster sustainable development and address environmental, social, and governance (ESG) issues. The report, which covers the 2023 calendar year, underscores Latvijas Banka's continued commitment to transparency and accountability in relation to sustainability. It provides insights into the bank’s governance, strategy, risk management practices, and its approach to managing climate-related risks within non-monetary policy portfolios. The report reveals that Latvijas Banka has made steady progress in reducing its carbon footprint within its developed markets equity portfolio. In 2023, the carbon footprint decreased by an additional 22% compared to 2022 data, resulting in a total reduction of 59% since the implementation of the sustainability strategy. The report also discloses that due to a change in the benchmark index of the emerging market fixed income portfolio, the ESG score of the portfolio improved by 13%, from 46 at the end of March 2024 to 52 at the end of April 2024. Latvijas Banka’s disclosures are part of a concerted effort by all Eurosystem’s central banks to publish climate-related financial disclosures on their euro-denominated non-monetary policy portfolios. This is done using a common framework that sets minimum reporting requirements based on the recommendations of the Task Force on Climate-related Financial Disclosures. 2024 Climate-related disclosures of Latvijas Banka’s non-monetary policy portfolios First sustainability disclosures report, provids transparency on its efforts to promote sustainable development and addressing environmental, social, and governance (ESG) issues. The report, which covers the year 2022, highlights Latvijas Banka's commitment to sustainability and outlines its key achievements in areas such as climate-related risk mitigation, social responsibility, and governance. The report also details Latvijas Banka's governance, strategy and risk management practices as well as its approach to managing climate-related risks within non-monetary policy portfolios. In the report, Latvijas Banka reveals that it has made significant progress in reducing its carbon footprint within its developed markets equity portfolio – compared to the previous year the carbon footprint of the portfolio decreased by 47%. Latvijas Banka's disclosures are part of an effort by all Eurosystem central banks to publish climate-related financial disclosures on their euro-denominated non-monetary policy portfolios using a common framework that defines minimum reporting requirements based on the recommendations of the Task Force on Climate-related Financial Disclosures. 2023 Climate-related disclosures of Latvijas Banka’s non-monetary policy portfolios