Volker Wieland: "Climate protection cannot be central banks' first priority" (CNN - Quest means Business)

"Climate protection cannot be a the first priority of central banks", Prof. Volker Wieland said in an interview with Richard Quest on the CNN program "Quest means Business". Instead, they should focus on their mandate, which is price stability. Nevertheless, they should take climate change into account, he added.

If companies are affected by climate change or if companies are affected by policies to fight climate change, this could pose a risk to financial stability. However, "it would be wrong to take monetary policy as a main instrument to fight climate change", Wieland said.

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