Bangladesh Bank Training Academy Journal

Abstract

The main objective of this paper is to examine the green banking practice in Bangladesh and suggest ways to increase sustainable development through green banking activities. Since the banking sector is the dominant supplier of credit to various sectors of the economy, especially industrial and the agricultural sectors, sound innovative green banking practices may promote environmentally sustainable and socially responsible investment. The study fi nds that although most banks have adopted green banking policy and continued to show improvements, private commercial banks and foreign commercial banks performed better than state-owned commercial banks. The study also noticed that projects on effl uent treatment plants, solar energy plant, bio-fertilizer plant, Hybrid Hofi man Kiln are neglected despite their crucial role in environmental protection.