Investment and Portfolio Mangement

In: Business and Management

Submitted By Israk1
Words 873
Pages 4
Different stakeholders can minimise th degradation of environment by "green practice." In Bangladesh, as one of the key stakeholders, banks can play a vital role in development and response to the environment through "Green Banking" practice.Green banking considers social factors with environmental aspects. It has already started working well in the developed countries. Fundamentally, green banking keeps away from as much paper work as possible and relies on electronic transactions for processing. Green banks adopt and implement environmental standards for lending. The interest of loan of green banks is comparatively less with those from normal banks.Natural resources conservation is an underlying principle in here in assessing capital and operating loans to extracting and industrial business sector. In other words, green banking refers to the attempt of the banking sector to consider social, ecological and environmental factors with an aim to protect the environment.In Bangladesh Bank's Recent Reform Initiatives, it has been written that green banking products are those that help create a favourable impact on environment. From green banking operations four key stakeholders namely customers, management, employees and shareholders can be benefited.The banking sector can play a significant role in protecting the environment by financing support to high impact environmentally sensitive sectors. As part of the Rio+20 Summit, Bangladesh and Vietnam jointly organised a side event on June 19, 2012, in Rio de Janeiro, Brazil to discuss how to ensure green development in the backdrop of rapidly changing climate. In this summit the Governor of the Bangladesh Bank Dr. Atiur Rahman drew a presentation on green banking informing his audience on the development of green banking in Bangladesh. He pointed out that banks have entered the 2nd phase of green banking policy…...

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