A new blogger in QUB

In this week's blog, I would like to share with you some information about the Banking Sustainability Report. With the deep involvement of the banking sector in achieving the sustainability goals, while banks may not directly impact society and the environment, their investment activities and products are important to the other industries or projects they serve. This requires sustainable banks to allocate resources to the right companies and minimize damage to society and the environment. Investors, stakeholders (regulatory bodies, governments, the public) are urging banks to disclose sustainability information, this is a kind of form of accountability. As traditional financial reporting no longer meets the needs of stakeholders, more and more companies are choosing to disclose this non-financial information. Usenko and Zenkina (2016) argue that financial performance in traditional financial reporting does not fully describe company's risks and performance and does not convey p...

In this week's blog, I will share more about the financial products of sustainable banks . As mentioned in the last blog, the wave of sustainable finance requires banks to offer sustainable financial products and services, which is a great opportunity for the banking industry, the financial markets and customers. The introduction of sustainable banking products by banks can increase its profitability and market value and help to improve credibility   (Carè, 2018) . The financial products of sustainable banks are mainly focused on social and governance (ESG) aspects, specifically, banks can provide financial support and sustainable strategy advice for sustainable projects. Mainly in the area of credit, sustainable financial markets and products are offered using the fintech ecosystem (Mejia-Escobar et al., 2020). Sustainable banking products Green mortgages offer lower interest rates than market rates, making homes and cars more environmentally friendly and less expensive. For examp...

As mentioned in the previous blog, more and more banks are realising the importance of sustainable finance and joining the sustainable development bandwagon, amidst the global trend towards sustainable finance. They realise that ignoring social and environmental issues can damage their credibility and reputation. Sustainable banking is essentially about contributing to the achievement of sustainability. Specifically, sustainable banking is directed by the ESG framework, incorporating environmental, social and governance (ESG) criteria into traditional banking, where ESG outcomes are a key objective. The UN-organised Net-Zero Banking Alliance brings together global banks representing over 40% of global banking assets, which have committed to integrating their lending and investment portfolios with net-zero emissions by 2050 (The United Nations, 2021). As of 19 January this year the alliance had over 100 members.    Why banking sustainability is important? The traditional bankin...

As the industrial revolution and technological advances have driven the world's booming economy and population growth, there has been increasing pressure on society and the environment. People are beginning to realise the need for a shift towards low carbon and sustainable development. In particular, for the prosperity of people, the planet, in 2015 the United Nations released the 2030 Agenda for Sustainable Development, which also includes 17 Sustainable Development Goals (SDGs), proposing three dimensions of sustainable development, economic, social and environmental ( United Nations, 2015). Why is sustainable finance important? The financial sector leads the process of allocating investments to sustainable development, guiding the transition to a circular, low-carbon, sustainable economy in organisational decisions. At the same time, considering sustainability itself can benefit companies, as sustainability often means lower costs and greater efficiency. In addition, there is ...