Review on Managing Climate Change and ESG Risks in Financial Market

  • Roslina Mohamad Shafi Department of Economic and Financial Studies, Faculty of Business and Management, Universiti Teknologi MARA (UiTM) Puncak Alam, Selangor, Malaysia http://orcid.org/0000-0002-2113-8434
  • Norsaliza Abu Bakar Department of Economic and Financial Studies, Faculty of Business and Management, Universiti Teknologi MARA (UiTM) Puncak Alam, Selangor, Malaysia http://orcid.org/0000-0002-7868-3679

Abstract

Climate change and environmental issues have an impact on the overall stability of the financial system. Intermediaries that operate on a long-term horizon are exposed to the consequences of extreme environmental events. Banking sectors and insurance companies could be the most vulnerable and sensitive to these issues. Consequently, the aims of this paper is to review recent development on the risk frameworks developed by regulators and to classify the climate-related risks, and to explore whether these risks affecting the costs and benefits that is related to organizations.


Research paper


Keywords: Climate change; environmental risks; governance; risk frameworks; systemic risk, finance


Reference to this paper should be made as follows: Mohamad Shafi, R., & Abu Bakar, N. (2022). Review on Managing Climate Change and ESG Risks in Financial Market. Journal of Entrepreneurship, Business and Economics, 10(2), 44–62.   

Published
Sep 25, 2022
How to Cite
MOHAMAD SHAFI, Roslina; ABU BAKAR, Norsaliza. Review on Managing Climate Change and ESG Risks in Financial Market. Journal of Entrepreneurship, Business and Economics, [S.l.], v. 10, n. 2, p. 44-62, sep. 2022. ISSN 2345-4695. Available at: <http://www.scientificia.com/index.php/JEBE/article/view/173>. Date accessed: 26 nov. 2022.