1. SUSTAINABLE BANKING
The financial sector is a critical channel through which price signals, regulations, and civil society pressure can direct financial capital to more or less sustainable economic activity.
The concept of sustainable banking is evolving rapidly. Today it gains more attention than ever, as sustainability in finance takes the spotlight.
Sustainable banking is a strategy that refers to banking and investment practices that pursue profit, while prioritizing social responsibility and/or environmental sustainability. A new “triple bottom line” approach to banking contextualizes the relationships between profit, social equity and environmental accountability.
This type of banking focuses on responsible and inclusive lending, promoting projects and programs in line with Environmental, Social and Governance (ESG) investing. An ESG framework guides investment decisions to factor in the impact on the environment, social issues and overall governance instead of just potential returns.…
