A “Climate Data and Analytics Hub” pilot program, a new tool designed to help financial regulators assess potential risks to financial stability stemming from climate change, was announced Thursday by the Treasury Department’s financial research arm.
According to a report also issued Thursday by the Financial Stability Oversight Council (FSOC), the new tool released by the Treasury’s Office of Financial Research (OFR) will provide agencies with access to public climate data, high-performance computing tools, and analytical and visualization software.
“The Hub will allow participants to integrate wildfire, crop condition, precipitation, and other climate-related data with financial data for a more precise view of the relationship between climate change and financial stability risk,” FSOC said in its report, “FSOC and Progress in Addressing Climate-Related Financial Risk. “The Hub is also equipped with statistical and visualization applications that will allow regulators to share data and collaborate on analysis.”
The FSOC report also noted that the hub project will support its members’ collection and analysis of climate related data, “which is a key area of focus for the CFRC (the council’s Climate-related Financial Risk Committee).
The FSOC report also reiterated the council’s commitment to “enhance coordination, build capacity, and promote the resilience of the financial system to the risks posed by climate change” among regulators.