GX & Decarbonization Research

María J. Nieto, C. Papathanassiou

This paper evaluates the effectiveness of prudential regulations for banks' physical climate risk adaptation in the EU, recommending integration into stress tests, transition plans, and Pillar III disclosures, with adaptation measures refle…

Jing Ma, Yewei Wu, Wenxin Liu

This study examines whether China's Climate Investment and Financing Policy (CIF) promotes firms' climate adaptation innovation. Using Chinese A-share listed firms and a difference-in-differences approach, they find that CIF significantly i…

Antonio Naimoli, Giuseppe Storti

This paper analyzes whether climate, geopolitical, and economic policy uncertainty indices improve tail-risk forecasts for green and brown stocks. It finds that transition climate risk dominates at the 1% level for both asset classes, while…

M. Qamruzzaman, A. Alomair, M. Alomair +1

This paper investigates spillover effects between energy and financial markets under climate policy uncertainty using TVP-VAR-SV, BK, and QVAR models. It finds that climate policy uncertainty nonlinearly affects market connectedness across …

Vito Apriyanto, Gatot Soepriyanto

This study empirically examines how carbon transition risk affects corporate financial stability in Indonesia, finding that high-emitting firms face financial penalties due to a legitimacy gap. The results confirm that carbon exposure is a …

Zia J Lyle, J. Vanbriesen, C. Samaras

This study constructs a climate change risk index for U.S. drinking water utilities and examines its association with municipal bond disclosures. It shows how climate risks are reflected in financial instruments, contributing to climate fin…

Caterina Seghini

This paper analyzes sovereign debt sustainability in the context of carbon budgets and climate damages, quantifying the impact of climate change on national debt and proposing alignment between climate policy and fiscal policy.

Lin Oktris, Siti Fathimah Azzahra, N. Nengzih +3

This systematic review synthesizes evidence from 10 empirical studies (2020-2025) on how carbon disclosure influences investor decisions. It identifies hierarchical mechanisms: information asymmetry reduction enables risk communication and …

Marwan Mansour, A. Albawwat, Ahmad Marei +2

This study analyzes the relationship between board governance effectiveness and carbon emission disclosure in ASEAN banking sectors from 2014-2023 using panel data. Fixed-effects and Tobit regressions show that board governance effectivenes…

Arindam Bandyopadhyay, P. Ray

This paper analyzes the link between CO2 emissions, ESG ratings, and credit ratings for Indian listed firms. Using CRISIL ratings and CDP data, it finds that higher ESG risks and CO2 emissions significantly increase the likelihood of lower …

Kazeem Isah, Sin-Yu Ho

This study examines how physical and transition climate risks affect US sectoral corporate profitability and whether green innovation improves forecast accuracy. Using a mixed-frequency ADL-MIDAS model on 2000Q1-2024Q1 data, it finds signif…

María José Gómez Yubero

This paper analyzes how climate risk monitoring can be integrated into the supervision of the Spanish CNMV, covering prudential, conduct, and macroprudential aspects. It examines capital markets' role in transition finance and the impact of…

Khaled Muhammad Hosni Sobehy, Lassaad Ben Mahjoub, Sahbi Gabsi

This paper addresses the misalignment between IFRS S2 climate risk disclosures and IAS 36 asset impairment testing. It constructs a framework combining deterministic and stochastic models (Monte Carlo with Merton Jump-Diffusion) to quantify…

Alessio Capriotti, Silvia Muzzioli

This paper empirically analyzes the relationship between sovereign bond spreads and climate risk in the Euro Area. It quantifies the impact of climate change on fiscal risk, offering new perspectives for investor risk assessment.

M. Wang, Zichen Liu

This study uses data from Chinese A-share listed manufacturing firms to empirically examine the impact of climate risk disclosure on firms' green innovation premium (GIP). The findings show that climate risk disclosure significantly enhance…

Nourseen Hosni Mohamed, M. Tahoon, Nermeen Ahmed Mamdouh

This paper empirically examines the impact of climate change risk disclosure on accounting conservatism using firms listed on the Egyptian Stock Exchange. It suggests that increased disclosure may be associated with more conservative accoun…

Aayushi Mishra, A. Arun, E. Kodra +5

This paper examines how physical climate risk affects US municipal bond markets, offering insights for investors and policymakers on the mechanisms by which climate-related disaster risk impacts municipal creditworthiness and funding costs.

Anthony Oyamendan, Babatunde Afolabi, Bojuwon Mustapha

This study empirically demonstrates that higher-quality climate risk disclosure reduces syndicated loan spreads, using 2,847 facilities from 156 banks across 23 countries (2022–2025). The effect is strongest (up to 141 bps) for green-commit…

E. Nikitina

This paper analyzes current features and trends in North-South climate adaptation assistance, finding significant quantitative growth (projected tripling of flows) and qualitative shifts including new mechanisms like the Fund for Responding…

Marjorie Hartley Ballestero

This paper analyzes the fiscal pressure from climate-related disasters in Costa Rica during 2010-2022. It finds that the country lacks sufficient own resources or external financing to cope with the increasing number of climatic events, for…