Green banking-a new dimension

Climate change has become a global concern as it has direct impact on biodiversity, agriculture, forestry, dry land, water resources and human health. In a globalize economy, it is the time to consider environmental policies because environmental impact might affect to the rate of return and reputation of business in the long-run. Among the business organizations, one of the major economic agents influencing overall industrial activity and economic growth is the financial institution such as banking sector. Bank plays a very important role in shaping the economy. Now-a-days, Banks that support the local community and environment are seen as leaders. As a result, Bank continuously strives to ensure that its operations are environment-friendly and discourages financing projects contrary to it. This study highlights the concept, needs and significance, and products of green banking. The study forms mainly the extensive review of related literature based on highly work. It is seen that there has not been much initiative in this regard by the banks and other financial institutions in the world. Therefore, this paper suggests some necessary directions for promoting green banking in the world to protect the environment and builds banks performance.