The Bank of Ghana (BoG) has called on banks to align their operations with the sustainable banking principles as it steps up efforts to integrate climate risk and environmental sustainability into the country’s financial sector. The BoG has also issued a Climate-Related Financial Risk Directive, requiring all banks to integrate climate risk into governance and risk management structures. The directive seeks to enhance the resilience of Regulated Financial Institutions (RFIs) by integrating climate risk considerations into governance, risk management, and disclosure practices. Banks are required to update their governance structures, risk management systems, and internal policies to comply with the directive by December 31, 2025, with full implementation starting on January 1, 2026. A newly established Climate and Sustainability Office within the central bank will lead the implementation. Speaking at a session on the construction sector, Second Deputy Governor of the BoG, Matilda A...