What the study found
The study found a positive relationship between green finance dimensions and the economic and social characteristics of the Sustainable Development Goals in Pakistani banks. It also found that private commercial banks account for most green finance in Pakistan.
Why the authors say this matters
The authors conclude that green finance has a critical role in advancing the sustainable performance of financial institutions in developing economies like Pakistan. They also report that many bankers see green financing as important for both short- and long-term banking strategy.
What the researchers tested
The researchers examined green finance and its influence on the sustainable performance of banks in Pakistan. They also looked at the extent of green finance adoption in two banks from 2018 to 2022, using structural equation modeling to analyze the data.
What worked and what didn't
The findings indicate that the social and economic dimensions of green finance had a substantial influence on banks' sustainable performance. Private commercial banks were reported as leading green finance, with 80% of the total in Pakistan, and 93% of bankers acknowledged its importance for strategy. The abstract does not report any negative or ineffective dimensions.
What to keep in mind
The available summary does not describe detailed limitations beyond noting the study's focus on Pakistan and the banking sector. No additional caveats are stated in the abstract.
Key points
- Green finance dimensions were positively associated with the economic and social SDG characteristics of bank sustainable performance.
- Private commercial banks accounted for 80% of green finance in Pakistan.
- The social and economic dimensions of green finance had a substantial influence on sustainable performance.
- 93% of bankers said green financing matters for short- and long-term banking strategy.
- The study analyzed bank data from 2018 to 2022 using structural equation modeling.
Disclosure
- Research title:
- Green finance is linked to stronger bank sustainability in Pakistan
- Authors:
- Shahid Hussain, Hassan Shafique
- Institutions:
- Khwaja Fareed University of Engineering and Information Technology, University of Hertfordshire
- Publication date:
- 2026-03-03
- OpenAlex record:
- View
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