must not depend only on historical data to predict the future, certainly when the changes we are seeing are without precedent. failing to include climate change trends in models, will undoubtedly result in a failure to estimate its impact. effective risk management should take place, through better informed investment decisions and through considering sensitivity of assets to the energy transition. this includes insurers assessing how best to integrate esg criteria. not only in their underwriting practices, but also in their investment decisions. insurers should also keep customers informed by reporting on sustainability. a dnb study has shown that most dutch institutions now publish an esg report. i know that dutch institutions are not alone in this. institutions have developed a method to measure the carbon footprint of their investments and loans. they do this through the platform for carbon accounting financials ( pcaf ). the platform helps financial institutions to disclose and align investments with the paris agreement. such methods are vital for investment practices. this is because major institutional investors, insurers and pension funds have potentially large exposures to transition risks. stemming from the carbonintensive assets on their balance sheets. the investment portfolio of european pension funds and insurers together amounts to over 15 trillion euros. over 15 trillion euros to be invested … the volume of green bonds and products is rapidly growing. think about investments in renewable energy. to achieve the eu ’ s 2030 goals of the paris climate agreement, including a 40 % cut in greenhouse gas emissions, we need to bridge an investment gap of 180 billion eur per year. we should be able to achieve this with the collective volume of investments we have in this room today. a higher allocation to green investments could slow the rate of climate change. this also serves to decrease the risk on the liability - side. but, again, we need to keep asking ourselves : are we doing enough to lower risk? role of supervisor and regulators we cannot talk about progress without discussing the role of supervisors and regulators. climate risk transcends borders. the scale of the challenge calls for a national and international supervisory and regulatory approach. at national, european and global level, much work has already been done to embed climate - related risks into our supervisory practices and regulation. following the european agenda, eiopa has developed an opinion for the incorporation of sustainability into the solvency ii framework and has also delivered its opinion on the european commission ’ s sustainable action plan. one of the ec ’ s most important projects is the development of a

international trading companies based in singapore that will demand such services. with the new rmb clearing arrangements, we can expect financial institutions based in singapore to reach out to local and regional corporates and investors, and encourage greater participation in the offshore rmb market. 6. mas is delighted to have icbc singapore as our rmb clearing bank. icbc singapore has considerable experience in rmb business and is well placed to launch a reliable and efficient rmb clearing service. with the qfb privileges it now enjoys, icbc is committed to growing its business in singapore. i understand that among other things, it intends to designate singapore as its southeast - asian hub for rmb business and will make singapore its wealth management hub covering southeast asia and south asia. bis central bankers ’ speeches 7. icbc and singapore can together play a big role in promoting the greater use of the rmb for trade settlements and other economic activities within asia, and particularly in southeast asia. 8. i congratulate icbc for its commencement as singapore ’ s rmb clearing bank. thank you. bis central bankers ’ speeches