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International News

In first for Fed, U.S. central bank says climate poses stability risks

“Acute hazards, such as storms, floods, or wildfires, may cause investors to update their perceptions of the value of real or financial assets suddenly,” Fed Governor Lael Brainard said in comments attached to the report, released Monday.

“Chronic hazards, such as slow increases in mean temperatures or sea levels, or a gradual change in investor sentiment about those risks, introduce the possibility of abrupt tipping points or significant swings in sentiment,” Brainard said.

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Bank of England warns insurers risk unexpected COVID losses

“Our work has highlighted that a number of firms have not been able to accurately identify and track COVID exposed policies, leading to unexpected COVID losses,” the BoE said in a letter to insurers.

“Firms should ensure that this uncertainty is reflected in the reserve estimates and that, where possible, appropriate procedures are put in place to identify and track exposed policies.”

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Vietnam braces for Typhoon Vamco, 53 dead in Philippines

Vietnam is prone to destructive storms and flooding due to its long coastline. Vamco will be the 13th storm that affects the Southeast Asian country this year, where more than 160 people have been killed in natural disasters triggered by a series of storms since early October.

“There has been no respite for more than eight million people living in central Vietnam,” said Nguyen Thi Xuan Thu, Vietnam Red Cross Society President. “Each time they start rebuilding their lives and livelihoods, they are pummelled by yet another storm.”

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