What do people in Austria think about green finance?

Andreas Breitenfellner and Heider Kariem ()
Additional contact information
Heider Kariem: Austrian Institute of Economic Research (WIFO)

Financial Stability Report, 2023, issue 46, 47-63

Abstract: This paper analyzes the results of a representative survey of Austrian households (OeNB Barometer) on green, i.e. sustainable, finance. This fast-growing market segment is receiving increasing attention from financial regulators and supervisors. A majority of respondents expect climate change to bring about a continuous deterioration in their financial situation over the next 15 years. At the same time, the answers to the questions specific to green finance suggest that respondents have mainly positive opinions and attitudes about sustainable financial products and businesses. We find this attitude to be more widespread among women as well as people with higher levels of education, middle incomes and higher saving rates. By contrast, age, job status, the size of the city or town where people live and financial literacy appear to play a rather minor role. The impact of these demographic and socioeconomic variables has, for the most part, been confirmed by regression analysis. Looking at actual demand, we find that there is low interest in green financial products, which is consistent with comparable Austrian and international studies. Some answers can be interpreted as evidence that at least a relatively small part of respondents is prepared to do a certain amount of research and even accept lower returns on sustainable investments. That said, contradictory answers suggest that some respondents struggle to understand green finance and related concepts. We also see skepticism about the credibility of financial products marketed as sustainable. Given that greenwashing can undermine the trust of (potential) customers and may consequently jeopardize confidence in the financial sector and financial stability, it is something that should be addressed by financial supervisors.

Keywords: household survey; green finance; sustainable financial markets; ESG; climate change (search for similar items in EconPapers)
JEL-codes: G41 Q5 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.oenb.at/dam/jcr:eecf3252-b4bd-46d4-a82 ... ut-green-finance.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:onb:oenbfs:y:2023:i:46:b:4

Ordering information: This journal article can be ordered from
Oesterreichische Nationalbank, Documentation Management and Communications Services, Otto-Wagner Platz 3, A-1090 Vienna, Austria

Access Statistics for this article

Financial Stability Report is currently edited by Markus Schwaiger, Birgit Niessner, Vanessa Redak and Martin Schuerz

More articles in Financial Stability Report from Oesterreichische Nationalbank (Austrian Central Bank) P.O. Box 61, A-1011 Vienna, Austria. Contact information at EDIRC.
Bibliographic data for series maintained by Stefan W. Schmitz ().