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The Role of Financial Stability in Mitigating Climate Risk: A Bibliometric and Literature Analysis

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Listed:
  • Ranila Suciati

    (Faculty of Economics and Business, Universitas Pembangunan Nasional Veteran Jakarta, 12450 South Jakarta, Indonesia)

Abstract

This study provides a comprehensive synthesis of climate risk and financial stability literature through a systematic review and bibliometric analysis of 174 Scopus-indexed publications from 1988 to 2024. Publications increased by 500% from 1988 to 2019, indicating growing research interest following the 2015 Paris Agreement. It explores how physical and transition climate risks affect financial markets, asset pricing, financial regulation, and long-term sustainability. Common themes include macroprudential policy, climate disclosures, and environmental risk integration in financial management. Influential authors and key journals are identified, with keyword analysis showing strong links between “climate change”, “financial stability”, and “climate risk”. Various methodologies are used, including econometric modeling, panel data analysis, and policy review. The main finding indicates a shift toward integrated, risk-based financial frameworks and rising concern over systemic climate threats. Policy implications include the need for harmonized disclosures, ESG integration, and strengthened adaptation finance mechanisms.

Suggested Citation

  • Ranila Suciati, 2025. "The Role of Financial Stability in Mitigating Climate Risk: A Bibliometric and Literature Analysis," JRFM, MDPI, vol. 18(8), pages 1-22, August.
    • Handle: RePEc:gam:jjrfmx:v:18:y:2025:i:8:p:428-:d:1715388
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    References listed on IDEAS

    as
    1. Karydas, Christos & Xepapadeas, Anastasios, 2022. "Climate change financial risks: Implications for asset pricing and interest rates," Journal of Financial Stability, Elsevier, vol. 63(C).
    2. Agliardi, Elettra & Agliardi, Rossella, 2021. "Pricing climate-related risks in the bond market," Journal of Financial Stability, Elsevier, vol. 54(C).
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