(d)

the following paragraph is added: ‘8. EBA shall assess the potential inclusion in the review and evaluation performed by competent authorities of environmental, social and governance risks (ESG risks). For the purposes of the first subparagraph, EBA's assessment shall comprise at least the following: (a) the development of a uniform definition of ESG risks, including physical risks and transition risks; the latter shall comprise the risks related to the depreciation of assets due to regulatory changes; (b) the development of appropriate qualitative and quantitative criteria for the assessment of the impact of ESG risks on the financial stability of institutions in the short, medium and long term; such criteria shall include stress testing processes and scenario analyses to assess the impact of ESG risks under scenarios with different severities; (c) the arrangements, processes, mechanisms and strategies to be implemented by the institutions to identify, assess and manage ESG risks; (d) the analysis methods and tools to assess the impact of ESG risks on lending and financial intermediation activities of institutions. EBA shall submit a report on its findings to the Commission, the European Parliament and to the Council by 28 June 2021. On the basis of the outcome of its report, EBA may, if appropriate, issue guidelines, in accordance with Article 16 of Regulation (EU) No 1093/2010, regarding the uniform inclusion of ESG risks in the supervisory review and evaluation process performed by competent authorities.’;

← art_1__point_29__point_c__text_2 · All articles · art_1__point_29__point_d__text_1 →

Source: EUR-Lex (Cellar) · retrieved 2026-10-12 · Text as adopted (Official Journal); later amendments are not incorporated in this text.