Integrating ESG into Credit Risk: Recommendations

What it contains

The document is a compilation prepared by Gaby Frangieh, senior advisor in risk management, finance and banking, that reproduces third-party work on integrating environmental, social and governance factors into credit risk. It is not an original publication of an organization: each chapter keeps the authorship and the terms of its source.

The index includes Protiviti’s practical analysis of how to integrate ESG risks into credit assessment (2024), Deloitte’s work on an ESG overlay for credit appraisal (2022), academic studies on the impact of ESG factors on corporate credit risk and on measuring it in Europe, CRIF’s analysis of how ESG factors affect credit risk, the 2022 work of the Hong Kong Monetary Authority on whether better ESG performance lowers sovereign credit risk, Management Solutions’ 2024 summary of the EBA draft guidelines on ESG risk management, the pricing of ESG risk in sovereign credit (Hermes Investment Management, 2019), an ESG-modified credit risk assessment model based on decision trees (2022) and First Abu Dhabi Bank’s ESG risk policy (2023), among others.

Given its length, it works as a reference library: it lets you compare methodologies, see examples of an institution’s policy and locate the literature behind each approach. Anyone who needs to cite a specific result should go to the original document reproduced in the corresponding chapter.

No official page for this file was found; the copy that the Club originally published on this site is linked.

Summary prepared by the Dominican Republic Risk Management Club from a reading of the original document, with the source verified on 7 October 2026. It does not replace reading the official text and is not advice.

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