Practices of Green Financing and Sustainable Development: Scope and Complexity

Abstract

Green financing or environmentally friendly financing is a newly arising financial form to accumulate environmental preservation with sustainable goals, economic gains, emphasizes environmental benefits, low carbon economy in ways that benefit the organization and its stakeholders. Entrepreneurs, investors, and owners of the organization of different countries in the world are more concerned about investment their capital that’s why they prefer green or sustainable financing. The article is devoted to the study of the essence of "green" finance and to highlight the present condition of green financing in Bangladesh. This research paper mostly draws on secondary data that was gathered from the Bangladesh Bank's annual report as well as publications on sustainable and inclusive banking, green banking, and green financing that were published in newspapers, journals, and books. The goal of the article is to examine how green financing might be used to achieve sustainable development objectives in Bangladesh and reveals the various challenges that impact to achieve the sustainable development of Bangladesh as well as opportunities which are going to aid the financial institutions of our country. The necessity of greening the financial system is covered in this study and the role of financial governance to overcome the crisis of electricity and how renewable energy (green) will help to diminish this difficulty.

Keywords: Green Finance, Sustainable Development, COVID-19, Electric Crisis, Environment

DOI: 10.7176/RJFA/14-1-02

Publication date: January 31^st 2023