Carbon Bubble

Assessing carbon risks in the German economy and the German financial sector

Project summary

The German government by means of the German Environment Agency (UBA) has commissioned Ecofys, the University of Oxford (Smith School of Enterprise and the Environment), Triple A Risk Finance, the Global Climate Forum, the University of Zurich (Finexus) and Germanwatch to analyse and evaluate the risk of a ‘carbon bubble’ in the German financial system.

The goal of the study is (1) to assess the carbon risks in the German economy, (2) to conduct a carbon stress test for German financial institutions and (3) to develop regulatory instruments to mitigate carbon risks in financial markets in Germany and beyond.

GCF project team