Green Finance: Exploring The Indian Financial System

Sustainable development is a key concept in environment jurisprudence that has aimed at harmonising economic development and environment protection. To combat the imminent threats of climate change various summits and conferences have based their plan of action on the lines of sustainable development. The 2030 Sustainable Development Goals (SDGs) are a unique set of seventeen-time bound goals that aim to balance all three objectives of sustainability i.e., economic, social and environment. Sustainability has emerged as a driving force for all sectors of the economy. The financial sector especially has been under the lens to contribute towards environment sustainability. In this backdrop ‘green finance’ has become a hot topic among corporates globally. Green finance means to include all public and private entities which provide financial assistance for sustainable development initiatives. A few of these initiatives include climate change, renewable energy, environmental pollution, deforestation and carbon neutrality. However, the context in which green finance is applicable depends on the economy of respective nations. Developed nations have the requisite economic resources to finance sustainability driven initiatives whereas developing countries face numerous challenges in financing their national goals. The Association of Southeast Asian Nation demand for green finance is estimated to hit three trillion US dollar in 2030
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