This paper analyzes several existing approaches and data platforms for assessing nature-related financial risk in the East Asia and Pacific region and examines the current level of disclosure by companies in East Asia and Pacific countries. Chapter 2 discusses how companies and financial institutions can assess their impact on nature using existing approaches, following the TNFD’s LEAP process. Chapter 3 explores specific data related to East Asia and Pacific countries from different platforms. It is noted that in some East Asia and Pacific countries, there are very few publicly listed companies, making it hard to find relevant corporate data. The chapter also highlights the challenges of applying existing approaches to developing economies. Chapter 4 compares sustainability disclosure standards and nature-related risk assessments in various East Asia and Pacific countries and analyzes reports on country-specific risks and companies’ own disclosures. Finally, chapter 5 summarizes the paper’s key findings, discusses its contributions and limitations, and suggests areas for future improvement. It proposes that financial regulators could improve by enhancing the availability of nature-related data, developing material indicators and metrics, instituting sustainability reporting requirements for financial institutions and corporations, supporting academic research to assess nature-related financial risks, and fostering regional cooperation.
Authors
- Citation
- “ World , Bank . 2024 . Nature-Related Risk Assessment Approaches for the Financial Sector: Applicable Approaches and Implications in East Asia and Pacific . © Washington, DC: World Bank . http://hdl.handle.net/10986/41863 License: CC BY-NC 3.0 IGO . ”
- Collection(s)
- Other ESW Reports
- Identifier externaldocumentum
- 34361495
- Identifier internaldocumentum
- 34361495
- Pages
- 97
- Published in
- United States of America
- Report
- 192437
- Rights
- CC BY-NC 3.0 IGO
- Rights Holder
- World Bank
- Rights URI
- https://creativecommons.org/licenses/by-nc/3.0/igo
- UNIT
- EFI-EAP-FCI-Finance-1 (EEAF1)
- URI
- https://hdl.handle.net/10986/41863
- date disclosure
- 2024-07-12
- region geographical
- East Asia , Oceania
Table of Contents
- Seoul Center for finanCe and innovation 1
- Nature-Related Risk Assessment Approaches for the Financial Sector Applicable Approaches and Implications in East Asia and Pacific 1
- World Bank Group Finance Competitiveness and Innovation Global Practice 3
- Nature-Related Risk Assessment Approaches for the Financial Sector Applicable Approaches and Implications in East Asia and Pacific 3
- Seoul Center for finanCe and innovation 3
- Contents 5
- Abbreviations 6
- Figures 8
- Tables 9
- Overview 10
- Introduction 13
- 1. Introduction 14
- Overview of Approaches 18
- 2. Overview of Approaches 19
- 2.1 19
- From Nature-Related Risks to Financial Risks 19
- 2.2 22
- TNFDs LEAP Process 22
- 2.3 33
- TNFDs Metrics 33
- 2.4 38
- Implications 38
- Implementing Approaches for East Asia and Pacific Countries 39
- 3. Implementing Approaches for East Asia and Pacific Countries 40
- Box 3.1. 41
- Risk Exposure and Income in the East Asia and Pacific Region 41
- 3.1 42
- Status of the East Asia and Pacific Region 42
- 3.2 49
- The Applicability of Various Data Platforms to the East Asia and Pacific Region 49
- Disclosure and Risk-Assessment Practices in East Asia and Pacific Economies 60
- 4. Disclosure and Risk-Assessment Practices in East Asia and Pacific Economies 61
- 4.1 61
- Status of Sustainability Disclosure Policies by Economies 61
- 4.2 64
- Analysis of Existing Cases and Findings in East Asia and Pacific Economies 64
- Box 4.1. 78
- Practices in East Asia and Pacific Countries KTG and Indorama Ventures 78
- Summary and Recommendations 82
- 5. Summary and Recommendations 83
- 5.1 83
- Summary 83
- 5.2 84
- Specific Recommendations 84
- Glossary 88
- References 91
- References 92
- Seoul Center for finanCe and innovation webSite httpswww.worldbank.orgseoulcenter 96
- Seoul Center for finanCe and innovation 97
