MNI BRIEF: Fed Joins Climate Change Club for Central Banks

The Federal Reserve has formally joined the Network for Greening the Financial System, a group of 75 central banks set up to combat climate change by better understanding the risks it poses to economies.

"As we develop our understanding of how best to assess the impact of climate change on the financial system, we look forward to continuing and deepening our discussions with our NGFS colleagues from around the world," said Fed Chair Jerome Powell in a statement Tuesday, which noted the Fed began participating in NGFS discussions and activities more than a year ago.

The Fed signaled earlier this year that it expected to become a member of the group. It has been talking more about the threat of climate change, and the Fed for the first time included the risks of climate change in its Financial Stability Report, released in mid-November.