Name: Md Firoz Alam
Country: India

Year: 2019
Volume: Volume-6, Issue-1 (January-June)
Page Number: 46-54

ABSTRACT
Indian banks are increasingly integrating environmental responsibility into their financial
operations as part of a broader shift toward sustainable development. Green banking
practices—such as green lending, carbon-neutral initiatives, paperless banking, renewableenergy financing, and environmental risk assessments—have emerged as essential strategies
for aligning financial activities with India’s sustainability goals. This study examines the
evolving role of Indian banks in promoting green banking and evaluates their contribution to
national sustainable development objectives. The research draws upon secondary data from
the Reserve Bank of India (RBI), sustainability reports of major public and private sector
banks, and global green finance guidelines to assess the extent of green initiatives adopted
across the sector. Findings indicate that banks such as SBI, HDFC Bank, ICICI Bank, and Yes
Bank have taken significant steps toward supporting low-carbon growth by introducing
specialized green credit products, adopting ESG frameworks, and funding renewable-energy
and climate-resilient infrastructure. Nevertheless, challenges persist, including limited
regulatory enforcement, inconsistent sustainability disclosures, and low awareness among
smaller financial institutions. Strengthening policy frameworks, expanding green credit
flows, and enhancing climate-risk assessment mechanisms are essential to accelerate India’s
transition to an environmentally sustainable banking system.
Keywords: Green Banking, Sustainable Development, Indian Banks, Green Finance,
Environmental Responsibility, ESG Practices.