MNI BRIEF: Federal Reserve Withdraws From Climate Consortium
MNI (WASHINGTON) - The Federal Reserve Board of Governors said Friday it has withdrawn from the Network of Central Banks and Supervisors for Greening the Financial System, a consortium of central bankers supporting the Paris climate goals.
"While the Board has appreciated the engagement with the NGFS and its members, the work of the NGFS has increasingly broadened in scope, covering a wider range of issues that are outside of the Board’s statutory mandate," the Fed said in a brief statement. The vote was 5-0 with two governors abstaining.
As of December 2024, the NGFS comprised 144 members across over 90 countries. Its stated goals are to help develop climate risk management in the financial sector and mobilize mainstream finance to support the transition toward a sustainable economy. The Fed joined the group in 2020 under President Joe Biden, but Republicans have long urged the central bank to limit its involvement in climate change initiatives.