Role of Banks and Other Financial Institutions in Enhancing Green Digital Finance

Namita Vikas (), Percy Venegas () and Sourajit Aiyer ()
Additional contact information
Namita Vikas: auctusESG
Percy Venegas: Economy Monitor
Sourajit Aiyer: auctusESG

Chapter Chapter 16 in Green Digital Finance and Sustainable Development Goals, 2022, pp 329-352 from Springer

Abstract: Abstract Led by investor action, policies, and products, sustainable debt issuance has seen traction in recent years, to reach a cumulative US $1.7 trillion as of 2020. However, the flows still pale in comparison to the annual investment gap of US $5–7 trillion to achieve the sustainable development goals. The challenge lies in devising ways to ensure that all the target beneficiaries can access capital at the right price and terms. In addition, the perceived risks need to be mitigated, and impact needs to be monitored using verified data. Inability to devise these ways leads to divergence between finance flows and impact, dissuading greater mobilization of sustainable finance. Financial product intermediation using technology platforms can be instrumental in bridging this gap to some extent to create an enabling ecosystem. This chapter looks at how banks and financial institutions can do this by linking finance, technology, and sustainability. This will promote green finance intermediation, enhance financial inclusion, and bring about green capital mobilization. The chapter identifies the challenges and opportunities that banks may face, both on the supply side and demand side, while working toward green fintech solutions. Apart from secondary research and leveraging the authors’ industry experience, it incorporates primary interview findings. As the green fintech space grows, banks need to position themselves favorably to ride the curve. This chapter seeks to find some answers to help them take those decisions.

Keywords: SDGs; FinTech; Green finance; Impact; Banks; Emerging technologies; Financial institutions (search for similar items in EconPapers)
JEL-codes: I3 O1 O3 (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:spr:eclchp:978-981-19-2662-4_16

Ordering information: This item can be ordered from
http://www.springer.com/9789811926624

DOI: 10.1007/978-981-19-2662-4_16

Access Statistics for this chapter

More chapters in Economics, Law, and Institutions in Asia Pacific from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().