The determinants of green finance and effect on the banking sector
This study examines the prerequisites and challenges faced by local and foreign commercial banks in Türkiye in supporting green business initiatives. This study uses backward logistic regression analysis to identify variables affecting green financing practices using annual data from Turkish deposit...
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Sciendo
2023-12-01
|
| Series: | Financial Internet Quarterly |
| Subjects: | |
| Online Access: | https://doi.org/10.2478/fiqf-2023-0028 |
| _version_ | 1797362117749243904 |
|---|---|
| author | Gör Yusuf Tekin Bilgehan |
| author_facet | Gör Yusuf Tekin Bilgehan |
| author_sort | Gör Yusuf |
| collection | DOAJ |
| description | This study examines the prerequisites and challenges faced by local and foreign commercial banks in Türkiye in supporting green business initiatives. This study uses backward logistic regression analysis to identify variables affecting green financing practices using annual data from Turkish deposit banks from 2012 to 2021. This study addresses the growing interest in understanding the role of commercial banks in promoting green finance and contributes to the existing literature by revealing the current efforts of Turkish commercial banks in this area. The main findings show that factors influencing green financing practices are derivative financial assets, loans, tangible assets, equity capital, company size, female representation on boards, presence of audit committees and company experience. The study highlights the relationship between these factors and green financing methods adopted by depository banks. It is worth noting that the assets of these banks were built within the framework of green financing and practices such as green buildings, green loans and green bonds were introduced. In addition, the size and experience of custodian banks help influence their green financing practices. The findings provide a framework for policy makers, practitioners and academics who wish to gain a deeper understanding of the dynamics of Turkish financial institutions and green finance. |
| first_indexed | 2024-03-08T16:02:51Z |
| format | Article |
| id | doaj.art-b202d5173d5049dfbea5c7c08dadc092 |
| institution | Directory Open Access Journal |
| issn | 2719-3454 |
| language | English |
| last_indexed | 2024-03-08T16:02:51Z |
| publishDate | 2023-12-01 |
| publisher | Sciendo |
| record_format | Article |
| series | Financial Internet Quarterly |
| spelling | doaj.art-b202d5173d5049dfbea5c7c08dadc0922024-01-08T09:55:04ZengSciendoFinancial Internet Quarterly2719-34542023-12-01194809610.2478/fiqf-2023-0028The determinants of green finance and effect on the banking sectorGör Yusuf0Tekin Bilgehan11University Faculty of Economics and Administrative Sciences, Çankırı, Türkiye2University Faculty of Economics and Administrative Sciences, Çankırı, TürkiyeThis study examines the prerequisites and challenges faced by local and foreign commercial banks in Türkiye in supporting green business initiatives. This study uses backward logistic regression analysis to identify variables affecting green financing practices using annual data from Turkish deposit banks from 2012 to 2021. This study addresses the growing interest in understanding the role of commercial banks in promoting green finance and contributes to the existing literature by revealing the current efforts of Turkish commercial banks in this area. The main findings show that factors influencing green financing practices are derivative financial assets, loans, tangible assets, equity capital, company size, female representation on boards, presence of audit committees and company experience. The study highlights the relationship between these factors and green financing methods adopted by depository banks. It is worth noting that the assets of these banks were built within the framework of green financing and practices such as green buildings, green loans and green bonds were introduced. In addition, the size and experience of custodian banks help influence their green financing practices. The findings provide a framework for policy makers, practitioners and academics who wish to gain a deeper understanding of the dynamics of Turkish financial institutions and green finance.https://doi.org/10.2478/fiqf-2023-0028investmentgreen financeprofitabilitybanking sectorlogistic regressioncommercial banksg21g23m41 |
| spellingShingle | Gör Yusuf Tekin Bilgehan The determinants of green finance and effect on the banking sector Financial Internet Quarterly investment green finance profitability banking sector logistic regression commercial banks g21 g23 m41 |
| title | The determinants of green finance and effect on the banking sector |
| title_full | The determinants of green finance and effect on the banking sector |
| title_fullStr | The determinants of green finance and effect on the banking sector |
| title_full_unstemmed | The determinants of green finance and effect on the banking sector |
| title_short | The determinants of green finance and effect on the banking sector |
| title_sort | determinants of green finance and effect on the banking sector |
| topic | investment green finance profitability banking sector logistic regression commercial banks g21 g23 m41 |
| url | https://doi.org/10.2478/fiqf-2023-0028 |
| work_keys_str_mv | AT goryusuf thedeterminantsofgreenfinanceandeffectonthebankingsector AT tekinbilgehan thedeterminantsofgreenfinanceandeffectonthebankingsector AT goryusuf determinantsofgreenfinanceandeffectonthebankingsector AT tekinbilgehan determinantsofgreenfinanceandeffectonthebankingsector |