Lenders are likely to face significant financial risks from the shift to a low-carbon economy, but it remains unclear whether such risks are incorporated into their lending practices. The extent of this risk depends on whether banks incorporate such risks into their lending activity and whether financial instruments\' tenors are long enough to cover the period when such risks materialize. Using a case study of shipping loans, we combine quantitative data and semi-structured interviews with key shipping debt providers. Our results show that banks, in particular signatories of the Poseidon Principles, a voluntary disclosure initiative in shipping, have started to price in the climate score of shipowners they lend to after the Paris Agreement but on a corporate rather than an asset basis. However, signatories do not differentiate their margins based on a ship\'s carbon intensity, despite a relatively long loan maturity, reinforcing the limitations of disclosure initiatives to influence investment outlays.

In light of the escalating global warming and the escalating frequency of extreme weather events, the agricultural sector, being a fundamental and pivotal industry worldwide, is encountering substantial challenges due to climate change. Using Chinese provincial panel data for 2000-2021, this paper utilizes a two-way fixed-effect model to investigate the impact of Climate Risk (CR) on green total factor productivity in agriculture (AGTFP), with China\'s climate policy uncertainty (CPU) being introduced as a moderating variable within the research framework to scrutinize its influence in this context. The findings reveal a noteworthy adverse effect of CR on AGTFP, further exacerbated by CPU. Heterogeneity analysis results show that there is a clear regional variation in the effect of CR on AGTFP across different Chinese regions, with CR significantly inhibiting AGTFP development in the northern regions and provinces in major grain producing regions. Consequently, there is a pressing necessity to bolster the establishment of climate change monitoring infrastructures, devise tailored climate adaptation strategies at a regional level, and enhance the clarity and predictability of climate policies to fortify the resilience and sustainability of agricultural production systems.

We summarize historic New York City (NYC) climate change trends and provide the latest scientific analyses on projected future changes based on a range of global greenhouse gas emissions scenarios. Building on previous NPCC assessment reports, we describe new methods used to develop the projections of record for sea level rise, temperature, and precipitation for NYC, across multiple emissions pathways and analyze the issue of the \"hot models\" associated with the 6th phase of the Coupled Model Intercomparison Project (CMIP6) and their potential impact on NYC\'s climate projections. We describe the state of the science on temperature variability within NYC and explain both the large-scale and regional dynamics that lead to extreme heat events, as well as the local physical drivers that lead to inequitable distributions of exposure to extreme heat. We identify three areas of tail risk and potential for its mischaracterization, including the physical processes of extreme events and the effects of a changing climate. Finally, we review opportunities for future research, with a focus on the hot model problem and the intersection of spatial resolution of projections with gaps in knowledge in the impacts of the climate signal on intraurban heat and heat exposure.

Climate change leading to Climate extremes in the twenty-first century is more evident in megacities across the world, especially in West Africa. The Greater Accra region is one of the most populated regions in West Africa. As a result, the region has become more susceptible to climate extremes such as floods, heatwaves, and droughts. The study employed the Coupled Model Intercomparison Project 6 models in simulating climate extreme indices under the Shared Socioeconomic Pathway scenarios (SSPs) over West Africa between 1979 and 2059 as exemplified by the Greater Accra region. The study observed a generally weak drought in the historical period and expected to intensify especially under SSP585 in Greater Accra. For instance, continuous dry days (CDD) reveal an increasing trend under the SSPs. Similarly, the overall projected trend of CDD over West Africa reveals an increase signifying a more frequent and longer drought in the future. The flood indices revealed a surge in the intensity and duration of extreme precipitation events under the SSPs in the region. For instance, R99pTOT and Rx5days are expected to significantly increase under the SSPs with intensification under the SSP245, SSP370, and SSP585. A similar trend has been projected across West Africa, especially along the Guinean coast. The study foresees a gradual and intensifying rise in heatwave indices over the Greater Accra region. The warming and cooling indices reveal an increasing and decreasing trend respectively in the historical period as well as under the SSPs particularly within urban centers like Accra and Tema. Most West African countries are projected to observe more frequent warm days and nights with cold nights and days becoming less frequent. Expected effects of future climate extreme indices pose potential threats to the water, food, and energy systems as well as trigger recurrent floods and droughts over Greater Accra. The findings of the study are expected to inform climate policies and the nationally determined contribution of the Paris Agreement as well as address the sustainable development goal 11 (Sustainable cities) and 13 (Climate action) in West Africa.

We examine the impact of climate risk on discouraged borrowers among small and medium-sized enterprises (SMEs) in the eurozone, using a unique European Central Bank dataset focusing on the demand side of credit markets. We argue that two opposing channels may exist in this relationship: Either climate risk has a negative effect stemming from increased demand for sustainable or climate-resilient projects that enhance creditworthiness, or climate risk has a positive effect arising from heightened climate uncertainty and risk aversion, leading to credit self-rationing among SMEs. Our findings reveal that heightened climate risk prompts SMEs to self-ration credit, leading to higher probabilities of discouraged borrowers. Our research deepens the understanding of the impact of climate risk on credit-related decisions, stressing the need for proactive measures to integrate climate risk assessments into regulatory frameworks and lending practices. The findings underscore the vulnerability of SMEs to climate risk, emphasizing emphasizing the importance of tailored support mechanisms for economic resilience.

This Introduction to NPCC4 provides an overview of the first three NPCC Reports and contextualizes NPCC4\'s deliberate decision to address justice, equity, diversity, and inclusion in its collective work and in its own practices, procedures, and methods of assessment. Next, it summarizes the assessment process, including greater emphasis on sustained assessment. Finally, it introduces the NPCC4 chapters and their scope.

Building on prior research on managerial ownership and firm performance, this study is the first to link CEO ownership to carbon commitment. We examine if firms led by CEOs with substantial ownership are more or less inclined to prioritise reducing carbon emissions than those without such ownership. We find that higher CEO ownership is associated with a lower carbon commitment, indicating that CEOs with more significant ownership do not prioritise carbon emissions reduction. However, we notice an inverted U-shaped relationship. Particularly, moderate CEO ownership (between 5% and 10% of total shares) has the stronger impact. The results are robust to alternative measures and approaches. The study provides empirical evidence on how CEO ownership can influence corporate carbon commitment and contribute to the global fight against climate change.

The planned relocation of communities away from areas of climate-related risk has emerged as a critical strategy to adapt to the impacts of climate change. Empirical examples from around the world show, however, that such relocations often lead to poor outcomes for affected communities. To address this challenge, and contribute to developing guidelines for just and sustainable relocation processes, this paper calls attention to three fundamental tensions in planned relocation processes: (1) conceptualizations of risk and habitability; (2) community consultation and ownership; and (3) siloed policy frameworks and funding mechanisms. Drawing on the collective experience of 29 researchers, policymakers and practitioners from around the world working on planned relocations in the context of a changing climate, we provide strategies for collectively and collaboratively acknowledging and navigating these tensions among actors at all levels, to foster more equitable and sustainable relocation processes and outcomes.

New York City (NYC) faces many challenges in the coming decades due to climate change and its interactions with social vulnerabilities and uneven urban development patterns and processes. This New York City Panel on Climate Change (NPCC) report contributes to the Panel\'s mandate to advise the city on climate change and provide timely climate risk information that can inform flexible and equitable adaptation pathways that enhance resilience to climate change. This report presents up-to-date scientific information as well as updated sea level rise projections of record. We also present a new methodology related to climate extremes and describe new methods for developing the next generation of climate projections for the New York metropolitan region. Future work by the Panel should compare the temperature and precipitation projections presented in this report with a subset of models to determine the potential impact and relevance of the \"hot model\" problem. NPCC4 expects to establish new projections-of-record for precipitation and temperature in 2024 based on this comparison and additional analysis. Nevertheless, the temperature and precipitation projections presented in this report may be useful for NYC stakeholders in the interim as they rely on the newest generation of global climate models.

Extreme climate events have become more frequent and have had serious impacts on the global community. Consequently, the risk associated with climate change has gained increasing attention and has been considered as a new source of risk factors. To understand the socio-economic impacts of this new risk, systematically measuring risk around the world is critical for researchers and policymakers. Building on daily observations from meteorological stations, a Climate Physical Risk Index (CPRI) dataset is constructed for 170 countries, paying special attention to four extreme climate events: extreme low temperature (LTD), extreme high temperature (HTD), extreme rainfall (ERD), and extreme drought (EDD). A comprehensive index of climate physical risk for each country has also been constructed, covering the period from 1993 to 2023. The dataset will be updated regularly. Subnational indices or more detailed regional indices are available upon request.