EBA ESG Dashboard Shows Better Climate Data

The European Banking Authority’s ESG risk dashboard tracks environmental, social and governance risks across the European Union’s banking sector. Climate exposures matter because physical damage and the transition to a lower-carbon economy can weaken borrowers, erode asset values and increase credit losses. More complete and comparable disclosures give banks and supervisors a stronger foundation for pricing risk, monitoring concentrations and assessing financial institutions’ resilience.

The EBA released its 2025 ESG risk dashboard on Thursday, saying the availability and quality of climate-related data had improved. The agency said the progress should help financial institutions assess and manage climate risks more effectively, while giving supervisors a clearer view of exposures across banks. The available report description did not quantify the improvement or cite a monetary amount, making stronger data coverage and usability the central update.