WASHINGTON (our correspondent): The International Monetary Fund (IMF) has joined the Paris-based Network for Greening the Financial System (NGFS) as an Observer.

The NGFS is an international organization. This forum bringing together central banks and supervisors committed to understanding and managing the financial risks. It also gives opportunities associated with climate change.

“The IMF is pleased to join the NGFS as an Observer. The forum will allow us to contribute our institutional knowledge about the capabilities of central banks, financial supervision, and capital markets to help policymakers make far-sighted decisions that will help ‘green’ the financial system,” said Tobias Adrian, the IMF’s Financial Counsellor and the Director of the Monetary and Capital Markets Department (MCM). Climate change puts our planet at risk and it confronts humanity with an existential challenge,” Adrian added.

The Network for Greening the Financial System has 46 member institutions and 9 observers. It also participate in three different work streams related to mitigating climate risk. The organization also works on supervision, macro-financial issues, and mainstreaming green finance.

“I am also pleased that the IMF has decided to join the NGFS. We look forward to working with the IMF to address the challenges for the financial system posed by climate change. The knowledge and global reach of the IMF is invaluable. It also will accelerate the much needed greening of the financial system,’’ Frank Elderson, Chair of the NGFS, said.