Remarks by Director Falaschetti at the Open Session of the meeting of the Financial Stability Oversight Council

WASHINGTON – Thank you, Secretary Yellen.

Congress established OFR to support FSOC and its members with data and analysis to better gauge and understand complex risks to financial stability. Climate is one such risk, and an increasingly prominent one.

Associated models can point to long-term changes, but data gaps between climate and economic models can impede a fuller understanding of how climate change can translate into deeper or broader risks.

Turning to the President’s Executive Order, the OFR has taken several steps to address its directives. First, the OFR has performed a survey of relevant commercial data vendors, government agency data sets, academic data hubs, and other key sources to identify, categorize, and share climate data with FSOC and its members. In doing so, OFR is beginning to identify data gaps that, when filled, could better link climate change and financial stability. This work includes a pilot program initiated to serve as a climate data hub with another FSOC member.

And finally, our Office will continue to further its contributions to interagency analyses and information exchanges. Throughout, we will monitor, analyze, and share what we see with our FSOC colleagues.

With that, I yield back.