The Risk Management Association (RMA) announced Jan. 12 that 19 banks have formed the RMA Climate Risk Consortium.

The aim of the Consortium is to “develop standards for banks to integrate climate risk management throughout their operations, preparing the industry to help economies transition to a low-carbon future,” says Philadelphia-based RMA. 

The Consortium consists of 19 members to date, including: Bank of AmericaFifth Third BankHuntington National BankKeyBankM&T Bank Corp.MUFG Union BankNational Bank of CanadaRegions BankRoyal Bank of CanadaSilicon Valley Bank, and its parent, SVB Financial GroupTruistU.S. Bank and Wells Fargo

"For over a century, RMA has focused on bringing the industry together to overcome complex problems and difficult times," RMA President and CEO Nancy Foster stated. "With the world facing the existential challenge of climate change, it's more important than ever that banks work together on this issue. With their crucial role in the health of economies and communities, banks will help drive the environmental transition to a greener economy, and the RMA Climate Risk Consortium is leading the charge on this defining issue of our time."    

RMA adds that the Consortium “will advance practices for member banks and the broader industry by assessing current efforts and developing consistent taxonomy, frameworks, and standards for climate risk management.” The Consortium is also engaging with regulators and other key policy makers “to help inform ongoing policy considerations specific to a changing climate.”