The prevailing response of the Indian banking sector to implementing sustainable environmental practices is to delay compliance with internationally prevailing disclosures and protocols. The objective of this study is to analyze the sustainability reporting practices of the Indian banking sector. Sustainability reports or business responsibility reports of top 10 Indian banks are analyzed and compared on four reporting principles: stakeholder inclusiveness, credibility, materiality, and sustainability. Only four out of the 10 banks have adopted the international sustainability reporting framework, engaged their stakeholders, provided external audit assurance, and identified material issues in their sustainability reports. This study is valuable for the banks and policy makers as it provides a comprehensive picture of sustainability practices of the Indian banking sector vis-à-vis international practices and guidelines with a focus on sustainability reporting.
Get full access to this article
View all access options for this article.
References
1.
AggarwalP., & SinghA. K. (2019). CSR and sustainability reporting practices in India: An in-depth content analysis of top-listed companies. Social Responsibility Journal, 15(8), 1033–1053. https://doi.org/10.1108/SRJ-03-2018-0078
BihariS. C., & PradhanS. (2011). CSR and performance: The story of banks in India. Journal of Transnational Management, 16(1), 20–35. https://doi.org/10.1080/15475778.2011.549807
4.
Bonifácio NetoJ., & BrancoM. C. (2019). Controversial sectors in banks' sustainability reporting. International Journal of Sustainable Development & World Ecology, 26(6), 495–505. https://doi.org/10.1080/13504509.2019.1605546
BrundtlandG. (1987). Our common future: The world commission on environment and development. UN-Document A/42/427. http://www.un-documents.net/ocf-ov.htm
7.
ElkingtonJ. (1997). Cannibals with forks—Triple bottom line of 21st century business. New Society Publishers.
8.
GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit). (2012). Sustainability Reporting: Practices and Trends in 2012. In Giz. https://doi.org/10.1177/000765039903800303
KhawaspatilS. G., & MoreR. P. (2013). Green banking in India. Golden Research Thoughts, 2(7), 1–4.
12.
KumarK. (2020). Emerging phenomenon of corporate sustainability reporting: Evidence from top 100 NSE listed companies in India. Journal of Public Affairs. https://doi.org/10.1002/pa.2368
13.
KumarK., & PrakashA. (2019a). Examination of sustainability reporting practices in Indian banking sector. Asian Journal of Sustainability and Social Responsibility, 4(1), 1–16. https://doi.org/10.1186/s41180-018-0022-2
14.
KumarK., & PrakashA. (2019b). Developing a framework for assessing sustainable banking performance of the Indian banking sector. Social Responsibility Journal, 15(5), 689–709. https://doi.org/10.1108/SRJ-07-2018-0162
15.
KumarK., & PrakashA. (2020). Managing sustainability in banking: Extent of sustainable banking adaptations of banking sector in India. Environment, Development and Sustainability, 22(6), 5199–5217. https://doi.org/10.1007/s10668-019-00421-5
KumarR., PandeN., & AfreenS. (2018). Developing a GRI-G4-based persuasive communication framework for sustainability reporting (SR): Examining top 10 Indian banks. International Journal of Emerging Markets, 13(1), 136–161. https://doi.org/10.1108/IJoEM-01-2017-0015
18.
LaskarN., & MajiS. G. (2016). Corporate sustainability reporting practices in India: Myth or reality? Social Responsibility Journal, 12(4), 625–641. https://doi.org/10.1108/SRJ-05-2015-0065
RamnarainT. D., & PillayM. T. (2016). Designing sustainable banking services: The case of Mauritian banks. Procedia - Social and Behavioral Sciences, 224(August 2015), 483–490. https://doi.org/10.1016/j.sbspro.2016.05.424
24.
RanjanK., NeerjaP., & ShamamaA. (2018). Developing a GRI-G4-based persuasive communication framework for sustainability reporting (SR): Examining top 10 Indian banks. International Journal of Emerging Markets, 13(1), 136–161. https://doi.org/10.1108/IJoEM-01-2017-0015
25.
RichardsonB. J. (2009). Keeping ethical investment ethical: Regulatory issues for investing for sustainability. Journal of Business Ethics, 87(4), 555–572. https://doi.org/10.1007/s10551-008-9958-y
UllmannA. (1985). Data in search of a theory: A critical examination of the relationships among social performance, social disclosure, and economic performance of U.S. firms. Academy of Management Review, 10, 540–557. https://doi.org/10.5465/AMR.1985.4278989
UrbanM. A., & WójcikD. (2019). Dirty banking: Probing the gap in sustainable finance. Sustainability (Switzerland), 11(6), 1–23. https://doi.org/10.3390/su11061745
35.
VenturaE. C. F., & VieiraM. M. F. (2007). Social responsibility as a displacement of capitalism: Evidences from banks in Brazil. Electronic Journal of Business Ethics and Organisational Studies, 12(1), 35–47.
WiseV., & AliM. M. (2009). Corporate governance and corporate social responsibility in Bangladesh with special reference to commercial banks. AIUB Bus Econ Working Paper Series (AIUB-BUS-ECON-2009-05). http://orp.aiub.edu/WorkingPaper/WorkingPaper.aspx?year=2009 July
40.
ZappiG. (2007). Corporate responsibility in the Italian banking industry: Creating value through listening to stakeholders. Corporate Governance, 7. https://doi.org/10.1108/14720700710820542
