This discussion paper sets out Bank Negara Malaysia’s (“the Bank”) proposed framework and elements for the industry-wide climate risk stress testing (CRST) exercise in 2024. The paper puts forward for discussion the applicability and format of the exercise, and technical elements such as scenarios selection, portfolio scope and granularity and other considerations.

The Bank would like to invite all relevant parties, including financial institutions, non-financial corporates, industry associations, climate experts, government agencies, regulators and any other relevant organisations or individuals, to peruse this document and provide written feedback on the proposals, including suggestions on areas to be improved, clarified or alternative proposals and areas that the Bank should consider.

All feedback for the discussion paper are to be submitted electronically in the prescribed format and emailed to [email protected] latest by 30 September 2022. The email must be titled “2024 CRST Discussion Paper – Feedback by [name of institution]”.

Documents:

• Discussion Paper: 2024 Climate Risk Stress Testing Exercise
• Attachment 1: Feedback Template for 2024 CRST Discussion Paper (xlsx)