Nepal Rastra Bank
Climate Impact & Sustainability Data (2018)
Reporting Period: 2018
Environmental Metrics
ESG Focus Areas
- Environmental Risk Management
- Social Risk Management
- Credit Risk Management
Governance Achievements
- Established Environmental & Social Risk Management (ESRM) Guideline for Banks and Financial Institutions
Climate Goals & Targets
Environmental Challenges
- Air and water pollution, solid waste management problems
- Social challenges including poverty reduction, human health, gender equality, and working conditions
- Environmental challenges including energy demand, renewable energy use, climate change vulnerability, and resource management
- B/FIs concern about competitive disadvantage in implementing E&S risk management procedures
Mitigation Strategies
- Issuing Guideline on Environmental & Social Risk Management for Banks and Financial Institutions to integrate sustainability into credit risk management
- Developing and implementing an Environmental and Social Management System (ESMS)
- Providing capacity building initiatives
- Creating an enabling regulatory context that ensures a level playing field for B/FIs
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Vulnerability to the impacts of climate change
Opportunities
- Green financing and inclusive lending
Reporting Standards
Frameworks Used: IFC’s Performance Standards on Environmental and Social Sustainability, Equator Principles
Certifications: ISO 14001, OHSAS 18001, SA8000