Green Banking
1.1 Introduction
Green Banking is no more new concept in today`s world. The concept of Green is to minimize environmental degradation and making this planet habitable and it’s being used in banking sector which is presently known as Green Banking. The concept of Green Banking was developed in the western countries. Green Banking is a general term, which can cover a multitude of areas from a bank being environmentally friendly to how and also where their money is invested.
Green Banking refers and emphases on environmental-friendly practices and reducing carbon footprint from banking activities. A green bank is a bank that promotes environmental and social responsibility but operates as a traditional community bank and provides excellent services to investors and clients. Its progressive approach to the community and the earth makes it different from the crowd.
A green bank is also called ethical bank, environmentally responsible bank, socially responsible bank, or a sustainable bank, and is expected to consider all the social and environmental factors.
These banks are like usual banks that aim to protect the environment and are controlled by same authorities but with an additional agenda toward taking care of the Earth`s environment/habitants/resources. It checks all the factors before considering a loan-whether the project is environment-friendly and has any implications on the future of people and planet. ‘One would be rewarded a loan only when all environmental safety standards are followed’- is the prime distinguishing features of the green banking.
Green banking involves pursuing of financial and business policies that are not hazardous to environment rather help conserve environment. The broad objective of green banking is to use resources with responsibility and giving priority to environment and society. It is more about focusing on 'mother planet and its sustainability ', shifting from a traditional approach on 'profit ' or even 'people '. Green
Green Banking is no more new concept in today`s world. The concept of Green is to minimize environmental degradation and making this planet habitable and it’s being used in banking sector which is presently known as Green Banking. The concept of Green Banking was developed in the western countries. Green Banking is a general term, which can cover a multitude of areas from a bank being environmentally friendly to how and also where their money is invested.
Green Banking refers and emphases on environmental-friendly practices and reducing carbon footprint from banking activities. A green bank is a bank that promotes environmental and social responsibility but operates as a traditional community bank and provides excellent services to investors and clients. Its progressive approach to the community and the earth makes it different from the crowd.
A green bank is also called ethical bank, environmentally responsible bank, socially responsible bank, or a sustainable bank, and is expected to consider all the social and environmental factors.
These banks are like usual banks that aim to protect the environment and are controlled by same authorities but with an additional agenda toward taking care of the Earth`s environment/habitants/resources. It checks all the factors before considering a loan-whether the project is environment-friendly and has any implications on the future of people and planet. ‘One would be rewarded a loan only when all environmental safety standards are followed’- is the prime distinguishing features of the green banking.
Green banking involves pursuing of financial and business policies that are not hazardous to environment rather help conserve environment. The broad objective of green banking is to use resources with responsibility and giving priority to environment and society. It is more about focusing on 'mother planet and its sustainability ', shifting from a traditional approach on 'profit ' or even 'people '. Green
References: 1. ATM, viewed: March 15, 2013. Read more: http://www.investopedia.com/terms/a/atm.asp#ixzz2AfRDds17 2 5. Green Banking Policy - BASIC Bank Limited, viewed: March 18, 2013 www.basicbanklimited.com/.../Green_Banking_Policy_of_BASIC_Bank_Ltd.pdf 6. Green Banking Policy of IBBL - Islami Bank Bangladesh Limited, viewed: march 18, 2013. www.islamibankbd.com/docs/Greeen%20Banking%20of%20IBBL.pdf – 7 10. Star, D 2011, ‘Bangladesh Bank takes step on green banking oct 01, viewed: march 15, 2013. www.thedailystar.net/newDesign/news-details.php?nid=204684 11 12. Ullah, M (2012), Green Banking in Bangladesh- A Comparative Analysis. Viewed: march 2013. www.wbiconpro.com/610-Maruf.pdf 13