policy. a thorough risk assessment is essential for protecting central banks ’ own balance sheets. besides, central banks can act as catalysts, linking the eligibility of assets to climate - related reporting. they could consider buying securities only from issuers that do fulfil proper disclosure requirements. tougher reporting requirements could boost the availability of data relevant to climate - related risk assessment. this would help the market to better price in climate risk. 4 conclusion ladies and gentlemen, just like japan, germany and the eu are committed to the goal of climate neutrality by 2050. therefore, markets needs to price in climate risk adequately. here transparency and disclosure are essential. 2 / 3 bis central bankers'speeches climate change cannot and will not wait, which is why we must act now. it is worth our joint effort. 3 / 3 bis central bankers'speeches

sabine mauderer : sustainable finance : political efforts and mature markets needed speech by dr sabine mauderer, member of the executive board of the deutsche bundesbank, at the icma and jsda annual green & social bonds conference, virtual event, 13 november 2020. * * * 1 introduction ladies and gentlemen, i ’ m delighted to be part of the icma and jsda annual green and social bonds conference today. i really regret not being in tokyo. i am glad to see that japan, germany and the eu forge an alliance to combat climate change. in his first general policy address, japanese prime minister suga announced the goal of becoming climate - neutral by 2050 – like the eu and germany. today, i will focus on two topics : first, the political effort of germany and europe to push sustainable finance. second, what is needed for a mature sustainable financial market. 2 political efforts of germany and europe to push sustainable finance allow me to summarise recent political initiatives in sustainable finance, starting with germany. germany issued a green bond with a 10 - year term for the first time in september, followed by another green bond with a 5 - year term last week. both issues, with a total outstanding volume of € 11. 5 billion, attracted huge interest among investors. looking back at these successful issuances, i can conclude that it was worth entering the market a little later, but with a tailored approach. germany entered the market with the innovative “ twin bond ” concept meeting market ’ s liquidity needs : each of these “ green bunds ” is twinned with a pre - existing conventional bond with identical features in terms of its coupon structure and maturity. the twin bond concept means that the “ green premium ” is immediately apparent. notably, the yield discount of the 10 - year green bund is around 2 basis points and around 1 basis point for the 5 - year green bobl. looking ahead, the federal government is going to build a “ green curve ” over the entire maturity range of federal securities from 2 to 30 years. a detailed issuance preview for 2021 will be provided in december. apart from the federal government, there are other public issuers in germany who are already active in the market : at the state level, north rhine - westphalia has issued a number of sustainable bonds with a total volume of € 13. 3 billion, making it the top issuer in this segment. state - owned development banks are also a vehicle which can