Impediments of Green Finance Adoption System: Linking Economy and Environment

Abstract

Environmental deregulation has become a severe concern for public health around the world. Increased pollution and ecological degradation have diverted attention towards adopting green practices, which can be possible if the sustainable green finance system is implemented in its true spirit. But previous studies reported certain factors affecting its implementation process, particularly in developing countries. This study aims to identify and quantify the barriers to adopting a green finance system. First, it identified twenty barriers through an extensive literature review and semi-structured interviews with experts in the fields of financial management, economics, and environmental sciences. Later, eighteen factors were finalized by the consensus of panel experts, which was further used to analyze their interrelationship through Interpretive Structural Modelling (ISM). Using MICMAC analysis, these barriers were categorized based on their diving-dependence powers. Finally, the conceptual ISM model is developed that provides a clear picture of the impediments to the green finance adoption system and their flow relationship among the identified barriers at different levels. The findings suggest that global level factors: lack of pressure from international organizations and unavailability of globally acceptable green criteria are critical to the prevalence of other factors that indicate its centrality to effectively implementing the green finance system. The developed model helps in designing, implementing, and promoting eco-friendly projects. It is also recommended that an appropriate framework is required to be developed at global, country, organizational, and individual levels to deal with the barriers of the green finance adoption system. Doi: 10.28991/ESJ-2022-06-02-02 Full Text: PDF

Integrating AI-Driven Green Finance Strategies for Sustainable Development: A Comparative Analysis of Renewable Energy Investments in Germany and Denmark

“…The recognition of this fact has resulted in the development of the notion of green finance. Despite extensive progress over many years, there is still no globally agreed-upon definition for the phrase "green finance" (Khan et al, 2022b). Green finance is characterized by its utilization of financial innovation to advance the protection of the environment, distinguishing it from normal finance.…”

Assessment of the Concentration and Structure of the Bioeconomy: The Regional Approach

“…The scarcity of natural resources, unsustainable consumption patterns, the increase in waste and environmental pollution, the demand for agricultural products and climate change are considered the current challenges that must be solved [37][38][39]. The development of bioeconomy industries is considered to be a solution to dealing with these problems [10-15, 28, 40].…”

“…The development of bioeconomy industries is considered to be a solution to dealing with these problems [10-15, 28, 40]. The bioeconomy is characterized by more efficient management of natural resources, greater food security, as well as a reduction in both the emission of greenhouse gases and the generation of residue and waste [28,37,40].…”

Green Practices: A Solution for Environmental Deregulation and the Future of Energy Efficiency in the Post-COVID-19 Era

“…Economic activities have slowed down due to pandemic activities on the one hand, while on the other hand, due to lockdown, the suspension of industrial activities reduces carbon emissions and positively impacts the environment (K. I. Khan et al, 2022). In developed economies, governments simultaneously supported clean energy projects and economic revival plans.…”