Although a broad consensus has developed on the need for some sort of climate action from central banks, senior officials are still debating what the next steps should be.

At a climate conference this week, central bankers expressed a range of views on the best approach. Bundesbank president Jens Weidmann and former European Central Bank chief economist, Otmar Issing, both warned that central banks should not over-reach.

Both stressed that climate change was one of the biggest challenges of