Anne-Catherine Husson-Traore

#SUERFpolicybrief “Climate, Inflation, and Monetary Policy: Insights from the New Keynesian Climate Model" by Jean-Guillaume Sahuc (Banque de France), Frank Smets (Bank for International Settlements – BIS) and Gauthier Vermandel (École Polytechnique) #Climatechange is increasingly affecting economic developments through the physical damages it creates and the mitigation and adaptation policies it elicits. #Centralbanks, focused on price stability and output smoothing, must navigate this new environment and its impact on price developments. Inflationary pressures emerge from rising costs and lower productivity due to the physical impact of climate change (so-called “climateflation”). #Inflation may also rise due to carbon tax policies and green investment necessary to transit to a low-carbon economy (so-called “greenflation”). In Sahuc et al. (2025), we introduce a New Keynesian Climate (NKC) model to analyze these two phenomena. The model estimated on world data integrates long-run environmental changes in a tractable New Keynesian framework that can be used to study #monetarypolicy. It shows the trade-offs central banks face in a world where inflation and growth are increasingly shaped by environmental constraints. 📄 https://lnkd.in/dvme3Bnu

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📘Our Guidance on the Development of States' Action Plan on CO₂ Emissions Reduction Activities (Doc 9988, 4th Edition, 2024) helps States: ▪️Select and implement effective CO₂ mitigation measures ▪️Engage key national stakeholders ▪️Harmonize reporting with updated templates ▪️Understand financing mechanisms for decarbonization Available now on the ICAO Store: https://lnkd.in/eGDfbkhF

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🌍 With less than two months to go before COP30 in Belém and as Climate Week NYC opens its doors (21–28 September): how do we deliver on this “COP of implementation”? 📄 IDDRI releases a new Policy Brief that unpacks the multiple dimensions of implementing the international climate framework under the UNFCCC—and offers practical suggestions to the COP30 Presidency. Its proposals focus on three key areas: ✅ Making full use of existing UNFCCC mechanisms ✅ Orchestrating climate action across international fora beyond the UNFCCC ✅ Harnessing positive action on the ground 👉 COP30 can mark the beginning of a post-negotiation era, where transparency frameworks, synthesis reports and cooperation platforms are not just compliance tools, but powerful levers to overcome barriers, build solutions and mobilize actors. 👉It should launch a sustained and coordinated implementation drive that extends beyond a single COP cycle—promoting sector-specific collaboration, fostering regional peer learning, and empowering grassroots participation to ensure legitimacy and reduce polarization. Céline Kauffmann Marta Torres Gunfaus Maiara Folly Plataforma CIPÓ Simon Sharpe Paul Watkinson #COP30 #BrazilCOP30 #Brazil #UNFCC #ParisAgreement #ParisClimateAgreement #ClimateAction

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🌍This column presents new #climate risk scores for more than 170 countries, distinguishing between physical and transition risks. Climate risk is at ‘code red’ level for the entire of humanity, prompting investors and policymakers to focus not only on the risks but also on the opportunities related to the green transition and on strategies to enhance countries' resilience to climate change. The scores reveal that emerging and developing economies are the most exposed to physical risks, mainly due to acute physical events, sea level rise, and high temperatures. Transition risks are more relevant for fossil fuel producers and wealthier countries. Vox column by: Matteo Ferrazzi, Fotios Kalantzis, Sanne Zwart (European Investment Bank (EIB)) Read more here: https://ow.ly/YtIQ50WrFGs

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Blended finance isn't new—it's proven. Development banks have used these approaches for over 20 years to mobilize private capital for public good. The World Bank's Land Degradation Neutrality Fund demonstrates the model perfectly: 30% public capital mobilized €208 million for landscape restoration across 12 developing countries. The results speak for themselves: * The Nature Conservancy's (TNC) Cumberland Forest structured $130 million combining philanthropic and commercial capital, generating competitive returns while protecting 250,000+ acres of critical biodiversity habitat * TNC's NatureVest program has sourced and structured multiple investments delivering both financial returns and conservation outcomes across diverse geographies * Conservation International's Verde Ventures Fund supported sustainable enterprises across biodiversity hotspots while generating returns * The Livelihoods Carbon Fund's three funds totaling €260 million have benefited 2.8 million people while sequestering 26 million tons CO2 equivalent At Eden: People+Planet, we're applying these established principles to landscape restoration. Our Rubeho Mountains project uses the same patient capital approach that has proven successful globally: philanthropic support bridges the development phase before carbon credits generate sustainable revenue. This isn't experimentation—it's implementation of best practices developed through decades of conservation finance innovation. The difference? While traditional models require perpetual fundraising, blended finance creates projects that sustain themselves. Your contribution becomes catalytic capital that multiplies through market mechanisms over 40+ years. This is how conservation scales to meet the climate challenge. Support proven solutions: https://lnkd.in/ej4-9x_f #BlendedFinance #ConservationFinance #ImpactInvesting #SustainableFinance #ClimateFinance #SystemicSolutions

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NEW: The “Nature Impact Target Setting for Banks” discussion paper proposes an approach for banks to set impact targets for nature – targets that aim to achieve an improvement in the state of nature through a set reduction of pressures across a bank’s lending, investing, and underwriting activities. Download the paper and learn how you can provide feedback on the proposed approach here: https://ow.ly/Rv8U50WIIvk UNEP-WCMC #nature #responsiblebanking

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📊 Just published: the 2025 Multilateral Development Banks (MDBs) Comparison Report — a joint effort to enhance transparency and comparability of MDBs’ financial positions. 📘 Covering key metrics — including leverage, liquidity, credit ratings, and risk transfers — the report offers a clearer picture of how MDBs mobilize resources to deliver on their mandates. ✅ The report aligns with the G20 Independent Review of Multilateral Development Banks’ Capital Adequacy Frameworks (CAF) recommendation to improve visibility around capital adequacy and financial resilience. ✅It is also part of MDBs’ commitment to working as a system, promoting a better understanding of their financial models and supporting both balance sheet optimization and private sector mobilization, as advocated by the Heads at their Paris meeting in June. 🤝 This year’s report was coordinated by the CEB, as the Chair of the Heads of MDBs Group for 2025, and EBRD, under the framework of the MDB Global Risk and Finance Forum (GRaFF). 🔗 https://lnkd.in/eGnKD3Ub African Development Bank Group Asian Development Bank (ADB) Asian Infrastructure Investment Bank (AIIB) Caribbean Development Bank EBRD European Investment Bank (EIB) Inter-American Development Bank IDB Invest IFC - International Finance Corporation Islamic Development Bank (IsDB) New Development Bank (NDB) Nordic Investment Bank The World Bank

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