NGFS publishes input paper on integrating climate adaptation and resilience into transition plans
The Network for Greening the Financial System (NGFS) has published an input paper to support the G20 Sustainable Finance Working Group’s 2025 priority on scaling up adaptation finance for a just climate transition. The paper outlines a flexible framework for integrating adaptation and resilience into transition plans, structured around five pillars: governance, foundations, implementation strategy, engagement strategy, and metrics and targets. It presents a maturity model for developing adaptation metrics and targets, recognising the varying capacities and contexts of institutions. The paper highlights the growing relevance of physical climate risks and the need for transition plans to address both mitigation and adaptation. It also discusses implementation strategies, including risk avoidance, reduction, transfer, and investment in adaptation-related opportunities. The NGFS notes the importance of enabling environments—such as national adaptation plans, regulatory clarity, and public-private collaboration—particularly for emerging markets and developing economies. The paper is intended to inform ongoing work by financial institutions, policymakers, and supervisors in aligning transition planning with climate resilience objectives.