Green Credit, Green Stimulus, Green Revolution? China’s Mobilization of Banks for Environmental Cleanup

Abstract

To tackle China’s profound environmental problems, Chinese leaders are now incorporating environmental targets in 5-year plans and experimenting with market-based mechanisms to supplement their traditional command and control mechanisms for environmental protection. In the recent years, China has produced a series of green policies, including green tax, green procurement, as well as green policies relevant to the financial sector, namely, green credit, insurance, and security policies. Of the three, the green credit policy is the most advanced, with three agencies (the Ministry of Environmental Protection, the Peoples’ Bank of China, and the China Banking Regulatory Commission) sharing the responsibility for implementation. The policy, approaching its fourth year of implementation, has proved resistant to China’s massive economic upheaval following the global financial crisis. Its future success depends on effective environmental data collection and dissemination, technical guidance, and provision of true financial incentives for banks. The continued success in implementation could potentially provide China with the experience and confidence to address new challenges, such as the environmental and social conduct of its enterprises overseas.

China's ascent and Africa's environment

“…From the mid-2000s, the Chinese leadership has been setting a different tone domestically, with the 11th Five Year plan (2006)(2007)(2008)(2009)(2010) and the 12th one (2011)(2012)(2013)(2014)(2015); with major investments in renewable energy and other environmental infrastructure; with significant advancements in launching new environmental laws, programs, institutions and instruments; with the start of citizens participation and information disclosure in environmental governance; with more stringent measures with respect to implementation, enforcement and the closure of polluting companies; and with green economic and credit policies (e.g. Mol and Carter, 2006;Zhang et al, 2010;Aizawa and Yang, 2010). Together these developments can be brought together under the heading of ecological modernization (Zhang et al, 2007): the technological, institutional and organizational change of the Chinese economy and society aiming to advance ecological rationality.…”

Tracking the implementation of green credit policy in China: Top-down perspective and bottom-up reform

“…However, the policies in these documents are difficult to implement in China. Lack of environmental information, incomplete supporting policies and laws, unclear implementation standard for different industries, and local protectionism are considered to be the major barriers in the promotion of green credit policy (Aizawa and Yang, 2010;Li, 2009b;Matisoff and Chan, 2008;Zhang and Li, 2009). China's environmental problems have attracted worldwide attention, as the country is now the world's largest carbon dioxide emitter as well as the foremost source of air pollution.…”

Yeşil Bankacılık ve Yeşil Krediler: Antalya’daki 4-5 Yıldızlı Otel İşletmelerinin Bakış Açıları Üzerine Bir Araştırma

“…Son yıllarda küresel ısınma, kuraklık, bitki ve hayvan türlerinde azalma gibi pek çok şiddetli çevresel sorunun sosyal ve ekonomik kalkınmayı etkilemesi sebebiyle (Aizawa ve Yang 2010), sürdürülebilirlik ve sürdürülebilir kalkınma anlayışını geliştirici yatırımlar, dünya çapında desteklenmeye başlamış-tır. Dünya Bankası (DB), Avrupa Yatırım Bankası (AYB), Eximbank, Fransız Kalkınma Ajansı (FKA), Japon Kalkınma Bankası (JKB), Alman Kalkınma Bankası (AKB) vb.…”

“…2010). Ek olarak, uluslararası çevre konferanslarında yapılan tartışmalarda sürdürülebilirliğin finansal boyutu da dikkate alınarak, finans kuruluşlarından kaynaklarını sürdürülebilir yatırımlara yöneltmeleri (White 1996) ve ülkelerden finans-bankacılık sektörlerini bu konuda teşvik etmeleri istenmiştir (Aizawa ve Yang 2010).…”