Kingdom of the Netherlands-The Netherlands: Financial Sector Assessment Program- Technical Note on Supervision and Disclosure of Climate-Related Risks

Dutch financial institutions are exposed to the effects of climate change through both physical and transition risks. Physical risks are mostly represented by flood risk while transition risks are primarily driven by the structure of the Dutch economy, including a significant exposure to agriculture. The Dutch authorities have made significant efforts to respond to climate related risks comprehensively through identification of risk drivers and analysis of their impacts, accompanied by strong policy initiatives aimed for mitigation and adaptation.