UN Special Envoy for Cities and Climate Change Michael R. Bloomberg and the governor of the Financial Stability Board (FSB) Mark Carney announced jointly on Friday during the COP21 the establishment of the Task Force on Climate-related Financial Disclosures (TCFD).

As an affiliation to the Group of Twenty (G20), the FSB established the TCFD as a response to the calls of the leaders of G20 to continue to engage public and private sectors to tackle climate-related issues.

With members from private sector among member countries of the FSB, the TCFD will "develop voluntary, consistent climate-related financial risk disclosures for use by companies in providing information to lenders, insurers, investors and other stakeholders".

"It's critical that industries and investors understand the risks posed by climate change," Bloomberg said, stressing that there is "too little transparency about those risks".

According to the FSB, the work of the Task Force will be conducted in two stages.

During the first stage, to be completed by end of March 2016, "the scope and high-level objective of TCFD's work are expected to be determined," said FSB in a press release.

The second stage of the TCDF will focus on delivering on specific recommendations for voluntary disclosure principles and leading practices, it added.

The FSB was established in 2009 to monitor and make recommendations about the global financial system.