Abstract
When sustainability issues are linked to business, they focus on how organisations impact the environment and the surrounding community and their management practices. These factors, commonly referred to as ESG (environmental, social and governance), have gained increasing importance over the past 20 years. Society in general, as well as international bodies, has been urging companies to implement actions aimed at gradually reducing their negative environmental impacts and fostering the social inclusion of populations. As banks provide finance and allocate investment, they have the power to direct the way money is used in investments, and can therefore also indirectly allocate the exploitation of natural resources and the well-being of populations.
This article aims to give an overview of how good environmental practices are being implemented in banking, indicating potential future paths, resulting from the 2008-2009 financial crisis that emphasised the banking sector’s responsibility in society as a whole.
OPBPL_ElectronicPapers_5_ENG
Abstract
When sustainability issues are linked to business, they focus on how organisations impact the environment and the surrounding community and their management practices. These factors, commonly referred to as ESG (environmental, social and governance), have gained increasing importance over the past 20 years. Society in general, as well as international bodies, has been urging companies to implement actions aimed at gradually reducing their negative environmental impacts and fostering the social inclusion of populations. As banks provide finance and allocate investment, they have the power to direct the way money is used in investments, and can therefore also indirectly allocate the exploitation of natural resources and the well-being of populations.
This article aims to give an overview of how good environmental practices are being implemented in banking, indicating potential future paths, resulting from the 2008-2009 financial crisis that emphasised the banking sector’s responsibility in society as a whole.
OPBPL_ElectronicPapers_5_ENG
