Effectiveness of Green Financing Activities and Performance Management on Banking Sector: An Empirical Study

Abstract

Environmental issues affect all features of the world's financial system and have a force on how they conduct their daily business. All business sectors are experiencing an increase in ecological issues, but the banking industry is in a special position due to its ability to influence the growth of the economy as a whole. The concept of “green banking” has strained a set of focus recently in green finance publications as a result of the growing threat posed by global atmosphere transformation. Consequently, the primary goal of the investigation was to determine the influence of green financing activities and performance management on the Indian banking sector. The primary data was collected by a survey from a cross-sectional study of 302 personnel of chosen Indian banks. The empirical results showed that green credit, investment, and carbon finance substantially correlated with banks’ financial flow levels. Also, shows that green insurance and securities have a slight impact on the financial flow of banks. Consequently, substantial strategy implications and prospect potential investigative initiatives in the relevant field are highlighted.