Rabobank jacks up climate risk overlays to loan provisions
Allowances top-up for chronic extreme weather increases more than sixfold
Rabobank sharply increased climate risk overlays to loan-loss allowances during 2024 – among the most visible actions by European banks seeking to quantify the credit threat from environmental factors.
The Dutch lender added €110 million ($119 million) to modelled provisions to cover various risks from extreme weather and decarbonisation policies, up from just €65 million at end-2023.
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