Exploring Client Perceptions and Intentions in Emerging Economies

Abstract

This article describes how in response to the global initiative to save the environment, many emerging economies today promote environmental-friendly practices by implementing various forms of green banking services. Beyond its usefulness for the environment, green banking also benefits the clients by offering new channels of financial services delivery. As such, there may be various factors which can shape the behavioral intentions of clients for adopting green banking, including their environmental concerns, perceived financial cost and timeliness factor attached to these services. Using UTAUT model and Structural Equation Modeling (SEM), this paper thus proposes a model to identify such adoption factors in the context of an emerging economy. The article finds that timeliness, facilitating conditions, environmental concerns, effort expectancy and performance expectancy, plays an important role in capturing clients' overall perceptions of green banking. Results therefore indicate clients may be fairly pragmatic in developing general attitudes towards the use of green banking.

Exploring Determinants of Customers’ Intention to Adopt Green Banking: Qualitative Investigation

“…Despite the considerable green initiatives and the wide range benefits offered by GB initiatives to consumers, banks, industries and the economy, it is a challenging task, and customers and private businesses in the UAE are still in the primary stages of adoption. However, the effective introduction of GB needs the participation of bank customers, since they are at the forefront of utilising these measures to carry out their banking transactions (Iqbal et al, 2018).…”

“…Source: (UAE Ministry of Environment and Water, 2016) facing consumers wanting to use GB products and services. In a report Iqbal et al, (2018) attempted to study the factors influencing the customer's adoption of GB products and services in Bangladesh.…”

“…As far as a critical literature review is concerned, there is a comprehensive agreement among researchers about the lack of available literature on GB. The literature does not fully explain the barriers to the adoption of GB products and services and requires further investigation (Sahoo et al, 2016;Iqbal et al, 2018;Uddin & Ahmmed, 2018;Bukhari et al, 2019;Julia & Kassim, 2019;Bouteraa et al, 2020aBouteraa et al, , 2020b. Furthermore, all the previous papers on GB adoption rates were based on descriptive statistics.…”

“…The UTAUT model has proved to be reliable in explaining up to 70% of the variance in individual behaviours and intentions (Venkatesh et al, 2003). Interestingly, the UTAUT model has also been confirmed to be a robust model to capturean individual's adoption behaviour in the context of GB studies show (e.g., Rifat et al, 2017;Iqbal et al, 2018;Bouteraa et al, 2020b); however, it has not been widely used in GB adoption studies. Venkatesh et al, (2012) further argued that the rational introduction of additional constructs could expand the UTAUT 's theoretical horizons.…”

Assessing the Relevance of Green Banking Practice on Bank Loyalty: The Mediating Effect of Green Image and Bank Trust

“…The need for the adoption of green banking practice is considered to be very important because of its environmental, corporate, and social benefits [13]. In addition, green banking can be used as a competitive advantage for customer retention [14], which is as a result of the increase in the call for an ideal environment, thereby switching clients' attention from the conventional banking approach to the green banking approach [15].…”