30 April 2020 — The Monetary Board of the Bangko Sentral ng Pilipinas (Central Bank of the Philippines) signed yesterday its Sustainable Finance Framework recognizing that “physical and transition risks arising from climate change could result in significant societal, economic and financial risks affecting the banks and their stakeholders.” The framework also includes green finance for climate change adaptation and mitigation projects in its definition of sustainable finance.

Experts say the BSP framework sets the precedence to start not only pricing climate and transition risk, but also valuing climate-resilient and low-carbon opportunities.

The Sustainable Finance Framework was published as BSP Circular No. 1085, Series of 2020, as posted below.