Green Finance as Propeller to Sustainable Development in India

Abstract

The requirement for utilizing renewable energy sources and eco-friendly practices has significantly expanded in consideration of the problems associated with environmental deterioration and an abrupt decrease in the quality and availability of natural resources. The United Nations has also urged businesses to switch from fossil fuels to renewable and ecologically sustainable methods. To accomplish the Sustainable Development Goals, several nations have commenced the shift from economic expansion to green productivity strategies, such as green finance and green innovation. The focus of the corporate sector is now on greening the business processes to address environmental sustainability challenges. Green finance represents an innovative financial approach embraced by financial institutions that combines environmental conservation with economic gains. The primary objective of this research is to assess the role of green finance in propelling India towards sustainability and to analyse the efforts of the Indian government, regulatory authorities, and financial institutions in promoting green financing through diverse initiatives to achieve sustainability. A qualitative approach has been used to provide in-depth insights and explore the complexities of the issue. Additionally, the research also focused on exploring the various challenges encountered in the realm of green finance, while also contemplating the prospective pathways and strategies that could shape the future trajectory of green finance in India.