US President Joe Biden signed an executive order which directs the federal government to create a strategy that would prevent the climate change risk on the economy in the US, according to the White House, CNBC informed.
The order, named Climate Related Financial Risk, instructs the Gina McCarthy, the National Climate Advisor and Brian Deese, the Director of National Economic Council to create a government-wide strategy that would aid in identifying and disclosing of the climate risk on government programs, liabilities and assets in the next 120 days.
The executive order also calls for a financial risk data report in connection with the climate change which will be delivered by Janet Yellen, Treasury Secretary and the had of Financial Stability Oversight Council. This council also includes Jerome Powell, who serves as the Chairman of the Federal Reserve, and the heads of the Securities and Exchange Commission.
The order is part of the long-term agenda of the Biden administration, aimed at reducing the greenhouse gas emissions in the US by 2030 nearly in half and shift to a net-zero economy by 2050 while preventing the damage climate change can pose to all the sectors of the economy.