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Model-based financial regulation challenges for the net-zero transition - Nature Climate Change

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Model-based financial regulation challenges for the net-zero transition - Nature Climate Change

Current model-based financial regulations favour carbon-intensive investments. This is likely to disincentivize banks from investing in new low-carbon assets, impairing the transition to net zero. Financial regulators and policymakers should consider how this bias may impact financial system stability and broader societal objectives.

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Model-based financial regulation challenges for the net-zero transition - Nature Climate Change

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Model-based financial regulation challenges for the net-zero transition - Nature Climate Change

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