Public Consultation on the Market Functioning Survey concerning Climate Change

-- Request for Comments --

December 13, 2021
Financial Markets Department
Bank of Japan

The Bank of Japan is planning to launch a new survey on market functioning in relation to climate change. The survey will be part of the research laid out in "The Bank of Japan's Strategy on Climate Change" released in July 2021. The Bank aims to assess the functioning of Japanese financial markets in relation to climate change, identify challenges for future developments, and share the results of that survey with relevant stakeholders.

To make the survey a useful source of information for those involved in financial markets, the Bank has decided to seek comments from a broad set of market participants and experts on (1) the survey topics, (2) the frequency of the survey, and (3) the scope of survey respondents.

The Bank proposes the following survey topics.

1. a. How climate-related risks and opportunities are reflected in the prices of financial instruments in the stock market and the corporate bond market in Japan and associated challenges
2. b. The current situation and challenges concerning the climate change-related ESG bond market in Japan
3. c. The use of climate change-related ESG bonds by issuers and investors in Japan and associated challenges

The Bank expects to keep conducting the survey annually to assess the functioning of Japanese financial markets and identify the challenges continuously. Also, to make the survey comprehensive, the Bank seeks to include issuers and other entities in the survey respondents in addition to investors and financial institutions.

If you have any comments on the survey after reading the public consultation paper [PDF 189KB], please send them to the following address by email using the prepared format [XLSX 22KB] by January 31, 2022.

The Bank will consider the comments it receives and finalize the topics, frequency, and the scope of respondents. The final version of the survey will be published on a later date.

Inquiries

Coordination and Market Analysis Division, Financial Markets Department

E-mail : post.fmd34@boj.or.jp