Archive · 29 Jan 2026
RBI Defers Climate Risk Disclosures
The Reserve Bank of India (RBI) has decided to delay its plans to make banks disclose and manage risks related to climate change.
This decision comes even though many countries around the world are requiring such disclosures to help fight climate change.
The RBI thought that these rules might be too expensive and complicated for companies to follow right now.
Meanwhile, a report called the Economic Survey said that there is a big gap in the money needed to fight climate change, especially for developing countries.
The survey also mentioned that India needs to focus more on adapting to climate change to protect its development gains.
The RBI's delay means banks won't have to change their lending policies based on climate risks for now.
RBI has deferred plans to mandate climate risk disclosures by banks, citing it as not a priority and potentially costly for corporates.
The proposed norms were expected to require banks to disclose climate-related risks in their loan portfolios and mitigation strategies starting fiscal year 2027.
The Economic Survey 2025-26 highlights a $4 trillion global climate finance gap, with developing economies receiving limited international public finance.
India's climate finance is predominantly sourced domestically, with 83% of mitigation finance and 98% of adaptation finance coming from within the country.
The survey emphasizes the need for bond markets to finance climate infrastructure and the importance of climate adaptation in India's climate action strategy.
- Who
- Reserve Bank of India (RBI)
- What
- Deferment of climate risk disclosure norms for banks
- When
- Not specified, but draft rules were expected to start in fiscal year 2027
- Where
- India
- Why
- RBI deemed it not a priority and potentially costly for corporates
- Organization
- Reserve Bank of India (RBI)
- Proposed Disclosure Start Date
- Fiscal Year 2027 (April 1, 2027)
- Global Climate Finance Gap
- $4 trillion
- India's Climate Finance Sources
- 83% mitigation, 98% adaptation from domestic resources
- Sovereign Green Bonds Issued (FY26)
- ₹15,000 crore
- Cumulative Sovereign Green Bonds (FY23-FY26)
- ₹72,697 crore
- India's Climate Vulnerability Rank
- 9th globally
- Extreme Weather Events in India (1995-2024)
- 430
- Economic Losses from Extreme Weather
- $170 billion
- Global Climate Finance (2023)
- $1.9 trillion
Sources
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Economic Survey pegs global climate finance gap at $4 tn, says bond markets crucial to bridge it
RBI defers plan to mandate climate risk disclosures by banks, sources say
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