Americans for Financial Reform Education Fund (AFREF) submitted letters to the Federal Reserve Board on its recent climate guidance for large banks.  A coalition letter signed by 24 organizations urged the Fed to include enhanced safeguards and monitoring around fair lending violations, racial and economic justice, and consumer protections as harmful risk management practices like blue-lining become more prominent. AFREF also submitted an individual letter focused on climate scenario analysis, climate disclosures, and aligning banks’ climate commitments with internal strategies and governance.

AFREF supports this important step toward addressing climate-related financial risk in the banking system and encourage the Board, alongside the other banking regulators, to strengthen and finalize this guidance as soon as possible.