Identifying, managing and disclosing climate-related financial risks: options for the Reserve Bank of India

India has committed to becoming a net-zero economy by 2070. This means a five fold increase in investment in green energy by 2030. But Indian banks are already heavy lenders to the power sector.

 

In this report the authors quantify the extent of lending by Indian banks to fossil fuel assets including power stations, coal, oil and gas extraction and heavy industry. This loans pose potential risks to Indian financial systems capacity to transition to decarbonise.