SEEMS Seminar – The impact of flooding on credit risk: Evidencefrom a global financial institution

His research “The Impact of Flooding on Credit Risk: Evidence from a Global Financial Institution”, investigates how floods influence firm creditworthiness globally, with a focus on private firms in emerging markets. I find that exposure to a single flood event leads to a deterioration in credit ratings of roughly 20% over three years. The results reveal a non-linear relationship: firms experiencing moderate exposure to floods show evidence of adaptive capacity, while those affected by more than five floods suffer sharply increased credit deterioration, indicating limits to resilience.