Flooded farms, damaged roads, and disrupted supply chains can turn extreme weather into an economic crisis—pushing up prices, hurting businesses, and testing the financial system.
These risks took center stage as the Bangko Sentral ng Pilipinas (BSP) brought together global central bankers, climate scientists, and finance and business leaders for the first Green Swan Conference held outside Basel, Switzerland.
Held on October 19, 2026, at the Philippine International Convention Center in Manila, the gathering drew participants from Europe, Asia and the Pacific, the Middle East, and the Americas to examine how economies can better withstand mounting climate threats.
The BSP co-organized the conference with the Bank for International Settlements (BIS), Banca d’Italia, and the Network for Greening the Financial System (NGFS).
Under the theme “Navigating climate risks amid uncertainties,” discussions connected advances in climate science with practical measures to limit disaster losses, strengthen financial protection, and keep businesses and communities resilient.
BSP Governor and Monetary Board Chairman Eli M. Remolona Jr. illustrated how quickly weather-related damage can spread through the economy.
“A flooded rice field means higher prices for rice. A washed-out road disrupts supply chains. What begins as a climate event can quickly become an inflation problem, a financial stability concern, and a threat to sustained growth,” Remolona said.
De Nederlandsche Bank President and NGFS Chair Olaf Sleijpen likewise emphasized the growing economic consequences of extreme weather.
“We must make our economies as resilient as we can to the effects of climate change,” he said.
In a recorded opening address, Banca d’Italia Governor and BIS Board of Directors Chair Fabio Panetta stressed that managing climate risks forms part of central banks’ existing responsibilities.
“The challenge is not to expand our mandates. It is to fulfil our existing mandates in a changing environment,” Panetta said.
Panel discussions examined three connected priorities—assessing physical climate risks, improving financial protection against disaster losses, and strengthening resilience in the real economy.
Speakers explored how to translate climate science into useful measures of economic and financial exposure. They also discussed how insurance and other risk-sharing mechanisms can narrow protection gaps and help businesses withstand climate-related shocks.
European Central Bank Executive Board Member Frank Elderson, in his keynote address, highlighted the implications of climate and nature risks for price stability, banking soundness, and financial stability.
He called for stronger data and analysis to help institutions identify vulnerabilities and prepare for changing conditions.
“We cannot predict the future with certainty, but we can try to understand how risks may evolve, identify vulnerabilities and strengthen resilience,” Elderson said.
The conference closed with a high-level panel featuring Remolona, Central Bank of Trinidad and Tobago Governor Larry Howai, and Hong Kong Monetary Authority Chief Executive Eddie Yue.
Moderated by BIS General Manager Pablo Hernández de Cos, the discussion examined how climate hazards affect economies and financial systems, how central banks are responding, and which priorities require further action.
