OSFI issues new Guideline on Climate Risk Management

OTTAWA ─ March 7, 2023 ─ Office of the Superintendent of Financial Institutions

Climate change and the global response to the threats it poses have the potential to significantly impact the safety and soundness of the Canadian financial system. Today, the Office of the Superintendent of Financial Institutions (OSFI) published Guideline B-15: Climate Risk Management, which sets out OSFI’s expectations for the management of climate-related risks.

The Guideline is OSFI’s first prudential framework that is climate sensitive and recognizes the impact of climate change on managing risk in Canada’s financial system. Two chapters currently comprise the guideline: Governance and Financial Disclosures. OSFI intends to review and amend this Guideline as practices and standards evolve.