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WASHINGTON— Acting Comptroller of the Currency Michael J. Hsu today released the following statement in support of the Financial Stability Oversight Council’s (FSOC) new Climate-related Financial Risk Committee.

I fully support the FSOC’s vote today to create the Climate-related Financial Risk Committee (CFRC). The CFRC will play an important role in identifying priority areas for assessing and mitigating climate-related risks to the financial system, coordinating information sharing, aiding in the development of common approaches and standards, and facilitating communication across FSOC members and interested parties. Addressing climate-related risks to the financial system requires the collaboration of multiple parties and partnerships, using many strategies and mechanisms.

Consistent with our safety and soundness mandate and the recommendations of the FSOC Report on Climate-Related Financial Risk, the OCC yesterday issued for public feedback draft principles for climate-related financial risk management for large banks. We are hopeful that the principles will promote and accelerate improvements in banks’ climate risk management practices.

I look forward to working with the CFRC and our interagency peers on this critical topic.

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